How to Pay Your Self Assessment Liability
Self Assessment tax liabilities fall due on 31st January and 31st July, if you fall within the payment on account regime. If you fail to pay by the deadlines, you’ll be charged interest and may have to pay a penalty if your payment is late. You can find out more about late interest and penalties in our blog here.
In order to make sure you make your payment on time, we have summarised the instructions for some of the most common payment methods below.
If you require any further assistance, please contact our office on 0141 221 6516 and you will be directed to someone who can provide you with any details you may require.
Online or Telephone Bank Transfer
Your bill from HMRC will tell you which account to pay in to. If you do not have a bill, or are unsure, use HMRC Cumbernauld.
HMRC Cumbernauld (08-32-10, 12001039)
HMRC Shipley (08-32-10, 12001020)
You’ll need to use your 11-character payment reference when you pay. This is your 10-digit Unique Taxpayer Reference (UTR) followed by the letter “K”. You can find this on your tax return, in your HMRC online account or correspondence from HMRC regarding your Self Assessment.
Remember that Faster Payments usually reach HMRC on the same or next day, where as Bacs payments can take 3-5 working days.
Cheque
At Your Bank or Building Society
This option is only available to those who still get paper statements from HMRC and have the paying-in slip sent to them by HMRC. If both of these apply, you can pay by cash or cheque at your branch, making cheques payable to “HM Revenue and Customs only”.
You should write your 11-character payment reference on the back of the cheque. This is your 10-digit Unique Taxpayer Reference (UTR) followed by the letter “K”. You’ll find the reference number on the paying-in slip.
By Post
You can send a cheque by post to HMRC at HMRC, Direct, BX5 5BD.
Your cheque should be payable to “HM Revenue and Customs only” and you should allow 3 working days for your payment to reach HMRC.
You should write your 11-character payment reference on the back of the cheque. This is your 10-digit Unique Taxpayer Reference (UTR) followed by the letter “K”. You’ll find the reference number on the paying-in slip.
Include the payslip HMRC sent you, but do not fold the payslip or cheque, or fasten them together. If you do not have an HMRC payslip, you can print a slip to use to pay by post (here), or contact our reception on 0141 221 6516 and our team will prepare one for you. You cannot use these printed payslips at a bank.
Debit or Corporate Credit Card Online
You can pay online via your personal debit card, corporate debit card or corporate credit card. Please note there is a fee to pay by corporate card which is not refundable. There is no fee for paying by personal debit card but you cannot pay by personal credit card.
You can pay online here.
You’ll need to use your 11-character payment reference when you pay. This is your 10-digit Unique Taxpayer Reference (UTR) followed by the letter “K”. You can find this on your tax return, in your HMRC online account or correspondence from HMRC regarding your Self Assessment.
If you’re unable to pay your bill in full by card, you should use another payment method instead.
Approving Payment Through Your Online Bank Account
You can also now pay your Self Assessment bill directly using your online or mobile bank account, using the link here.
Select the “pay by bank account” option. You will then be directed to sign in to your online or mobile banking account to approve the payment. The payment is usually instant but sometimes it takes up to 2 hours to show in your account.
Please note, you will need to have your online banking details ready to pay this way.
Budget Payment Plan
For those who would rather pay in instalments towards your next tax bill, you can set up a Budget Payment Plan to make regular monthly or weekly payments.
The amount in your plan will be used against your next tax bill, meaning you will have less to pay at the payment deadline. If the amount in your plan does not cover your next bill in full, you’ll need to pay the difference. If you’re in credit, you can request a refund.
When you set up your Budget Payment Plan, you’ll choose how much you want to pay, and how often. You can pause payments for up to 6 months if you need to.
Please note, this is not to be confused with a “Time to Pay” arrangement for arrears and you must be up to date with your previous Self Assessment payments.
To set up a Budget Payment Plan, go to your HMRC online account via this link (you will need your log-in credentials) and set up a Direct Debit. Choose the Budget Payment Plan option and follow the instructions to set up your plan.
You’ll need to use your 11-character payment reference when you pay. This is your 10-digit Unique Taxpayer Reference (UTR) followed by the letter “K”. You can find this on your tax return, in your HMRC online account or correspondence from HMRC regarding your Self Assessment.