HMRC reminds there is still time for Self Assessment taxpayers to set up a Time to Pay plan

HMRC is reminding Self Assessment taxpayers who may worried about being able to pay their tax bill in full that there is still time to set up a Time to Pay plan and make monthly payments.

More than 15,000 Self Assessment customers have already set up a Time to Pay payment plan for the 2023 to 2024 tax year to help spread the cost. HMRC offers these payment plans to support customers unable to pay their tax bill in full and looking to manage their tax payments over regular monthly instalments.

Myrtle Lloyd, HMRC’s Director General for Customer Services, said: 

“We’re here to help customers get their tax right and if you are worried about how to pay your Self Assessment bill, help and support is available. Customers can set up their online payment plan to suit their own financial circumstances and can spread those payments across a maximum of 12 months. It is a valuable option for someone needing extra flexibility in meeting their tax obligations.“

Taxpayers must file their Self Assessment tax return before setting up a Time to Pay arrangement. The online deadline to file a tax return for the 2023 to 2024 tax year and pay any tax owed is 31 January 2025.

Anyone who is unable to pay their tax bill in full, owes less than £30,000 and is eligible, can quickly and easily apply online to set up a Time to Pay plan without the need to contact HMRC directly. Those that owe more than £30,000 are still able to apply but would need to contact HMRC. 

Customers setting up a Time to Pay arrangement need to budget accordingly to ensure that regular monthly payments can be made. Any missed payment will incur interest as well as a penalty.