How to Pay Your Self Assessment Tax Return
A guide to payment methods and setting up a payment plan
Self Assessment tax is normally due on 31 Jan each year with additional payments on account due on 31 Jul. If you want to pay your bill in full, HMRC lists all available payment methods here:
If you cannot pay in full, you may be able to set up a payment plan with HMRC. This guide explains the current options.
Setup an Online Payment Plan
HMRC offers Time to Pay arrangements that allow you to spread your tax bill over monthly instalments. Many taxpayers can set these up online without speaking to HMRC.
Eligibility for an Online Payment Plan
You can normally set up a plan online if:
You owe £30,000 or less
Your tax return for the year is already filed
You have no other active payment plans with HMRC
You set up the plan within 60 days of the payment deadline
If all conditions are met, HMRC typically auto-approves the arrangement.
How to Set Up a Plan Online
Log into your HMRC personal tax account
Go to Self Assessment
Select Set up a payment plan
HMRC will show the maximum number of months available
Choose your monthly amount and payment date
Enter your Direct Debit details and confirm
Approval is immediate, and no phone call is required.
Contact HMRC for a Custom Payment Plan
If you owe more than £30,000 or need a longer repayment period, you will need to speak with HMRC to request a managed arrangement. Head here for contact details:
How it Works
Call HMRC and explain that you want to set up a Self Assessment Time to Pay arrangement.
HMRC will ask for a short breakdown of your financial position so they can assess affordability.
They will then suggest or agree a monthly repayment amount and confirm the plan.
Information HMRC Usually Asks For
Your income
Your essential monthly outgoings
Savings or cash balances
Other debts or liabilities
A realistic monthly amount you can afford
What to Expect
HMRC may approve the plan immediately if the proposal is reasonable.
They may ask for evidence if the amount owed is large or the case is unusual.
Interest continues to accrue until the balance is paid.
What Happens After a Plan Is Set
Interest continues to accrue daily until the balance is paid
HMRC will not take enforcement action as long as payments are maintained
Future Self Assessment bills are not added automatically, so you must pay future liabilities separately or arrange a new plan when due
If You Miss the Deadline Without a Plan
If you neither pay in full nor set up a payment plan:
Interest starts immediately after the due date
Late payment penalties may apply
HMRC may send payment demands or escalate the debt
If you think you will struggle to pay, it is far better to set up a plan before the deadline.
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