How to Pay Your Self Assessment Tax Bill

Paying your Self Assessment tax bill on time is crucial to avoid interest and penalties. You have several payment options available, from same-day methods like online banking to weekly or monthly instalments. Understanding the deadlines and how long each payment method takes will help you pay HMRC successfully.

Payment deadlines

You need to pay your Self Assessment tax by:

• 31 January – for any tax you owe for the previous tax year (known as a balancing payment) and your first payment on account
• 31 July – for your second payment on account

Payments on account are advance payments towards your next tax bill. If you pay tax through Self Assessment, you normally make two payments on account each year.

If the deadline falls on a weekend or bank holiday, make sure your payment reaches HMRC on the last working day before (unless you're paying by Faster Payments or debit or credit card).

How to pay

You can pay your Self Assessment bill through your HMRC online account or using the HMRC app. Both options let you choose from several payment methods.

You don't have to pay the full amount in one go. You can make one-off payments or set up weekly or monthly payments towards your bill before the deadline, as long as the full amount is paid by the due date.

Important: You can no longer pay at the Post Office.

Same or next day payment methods

If you need to pay quickly, these methods reach HMRC on the same or next day:

• Through your online bank account – Select 'pay by bank account' when making your Self Assessment payment online or through the HMRC app. You'll be directed to sign in to your online or mobile banking to approve a payment to 'HMRC Shipley'. Payment is usually instant but can take up to 2 hours to show in your bank account.
• Online or telephone banking (Faster Payments) – Make a bank transfer from your online bank account or by phoning your bank. These payments usually reach HMRC on the same or next day, including weekends and bank holidays.
• CHAPS – A same-day bank transfer service you can arrange through your bank.
• Debit or corporate credit card online – You can pay immediately using a debit card or corporate credit card through the HMRC payment service.
• At your bank or building society – You'll need a paying-in slip from HMRC to use this method.

Payment methods taking 3 working days

These methods take longer to process:

• Bacs – A bank transfer that takes 3 working days to reach HMRC
• Direct Debit (if you've already set one up with HMRC before) – Takes 3 working days
• Cheque through the post – Allow 3 working days for your payment to reach and be processed by HMRC

Payment methods taking 5 working days

Direct Debit (if you have not set one up with HMRC before) – The first time you set up a Direct Debit, allow 5 working days for it to be processed.

Setting up Direct Debit payments

You can set up a Direct Debit through your HMRC online account to make single payments for the 31 January deadline. You can also set up another Direct Debit if you need to make a payment on account.

If you want to make more than one payment before the deadline, you'll need to set up single payments each time you want to pay by Direct Debit.

For weekly or monthly Direct Debit payments towards your next Self Assessment tax bill, you can set up a Budget Payment Plan.

If you haven't used your Direct Debit for 2 years or more, check with your bank that it's still set up.

Your payment reference number

When paying by bank transfer or Direct Debit, you'll need your 11-character payment reference. This is your 10-digit Unique Taxpayer Reference (UTR) followed by the letter 'K'.

You can find this reference number in your HMRC online account or on your paying-in slip if you get paper statements.

Your payment may be delayed if you use the wrong reference number.

Bank account details for transfers

When making a bank transfer (Faster Payments, CHAPS or Bacs), pay into one of these HMRC accounts:

Account 1:

• Sort code: 08 32 10
• Account number: 12001039
• Account name: HMRC Cumbernauld

Account 2:

• Sort code: 08 32 10
• Account number: 12001020
• Account name: HMRC Shipley

If you're paying from an overseas account, you'll need the Business Identifier Code (BIC) and IBAN instead. These are available for both accounts. Some banks will charge you if you do not pay in pounds sterling.

If you cannot pay on time

If you're having difficulty paying your tax bill by the deadline, you can get help from HMRC. Contact them as soon as possible to discuss your options – they may be able to arrange a payment plan.

You'll be charged interest on late payments, and you may also be charged a penalty if you miss the deadline.

Checking for service issues

Online payment services may be slow during busy periods, particularly around the January deadline. You can check if there are any current problems or times when services are not available on GOV.UK before you pay.

Sources

• Pay your Self Assessment tax bill

This article provides general guidance based on current HMRC rules. For advice specific to your situation, speak to your accountant.