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Update late payment interest rate
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Interest rate for late payment penalty for self assessment is changing from
after 20th August 2024, its going down from 7.75% to 7.5%

details are in ticket:
https://trello.com/c/wRb7OoFK/285-change-interest-rate-in-estimate-your-penalty-for-late-self-assessment-tax-returns-and-payments
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syed-ali-tw committed Aug 9, 2024
1 parent 3e05ae7 commit 83cb966
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Showing 2 changed files with 8 additions and 7 deletions.
3 changes: 2 additions & 1 deletion lib/smart_answer/calculators/self_assessment_penalties.rb
Original file line number Diff line number Diff line change
Expand Up @@ -55,7 +55,8 @@ class SelfAssessmentPenalties < OpenStruct
{ start_date: "2023-04-13", end_date: "2023-05-30", value: 0.0675 },
{ start_date: "2023-05-31", end_date: "2023-07-10", value: 0.07 },
{ start_date: "2023-07-11", end_date: "2023-08-21", value: 0.075 },
{ start_date: "2023-08-22", end_date: "2100-04-04", value: 0.0775 },
{ start_date: "2023-08-22", end_date: "2024-08-19", value: 0.0775 },
{ start_date: "2024-08-20", end_date: "2100-04-04", value: 0.075 },
].freeze

def tax_year_range
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12 changes: 6 additions & 6 deletions test/unit/calculators/self_assessment_penalties_test.rb
Original file line number Diff line number Diff line change
Expand Up @@ -313,10 +313,10 @@ def setup
assert_equal 5695, @calculator.total_owed
@calculator.payment_date = Date.parse("2025-02-03")
assert_equal 750, @calculator.late_payment_penalty
assert_equal 6140, @calculator.total_owed
assert_equal 6134, @calculator.total_owed
@calculator.payment_date = Date.parse("2025-08-03")
assert_equal 750, @calculator.late_payment_penalty
assert_equal 6332, @calculator.total_owed
assert_equal 6320, @calculator.total_owed
end

context "HMRC Covid-19 Extension to 1 April for 2019-20" do
Expand Down Expand Up @@ -443,10 +443,10 @@ def setup
end

context "late payment interest rates" do
should "after May 31st, the user should have a late payment penalty of 7.75%" do
@calculator.payment_date = Date.parse("2024-06-1")
assert_equal 250, @calculator.late_payment_penalty
assert_equal 128.46, @calculator.interest.to_f
should "user should have a late payment penalty of 7.5% after August 19th 2024" do
@calculator.payment_date = Date.parse("2024-08-20")
assert_equal 500, @calculator.late_payment_penalty
assert_equal 213.39, @calculator.interest.to_f
end
end
end
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