VDIM9070 | Circumstances affecting default interest: Withdrawing or reducing interest

This guidance deals with interest matters in respect of prescribed accounting periods starting on or before 31 December 2022. Interest matters with effect from 01 January 2023 are dealt with under Finance Act 2009.

Please see Compliance Handbook page CH140000 onwards to find the new interest rules guidance.

If an assessment is subsequently amended or withdrawn or an over declaration is notified, the interest assessment will also need to be amended as appropriate.

Manual recalculation of the interest will be needed and the taxpayer must be told of any changes.