Self Assessment Customers Use Monthly Payment Plans To Pay £46m In Tax

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Self Assessment Customers Use Monthly Payment Plans To Pay £46m In Tax

More than 20,000 Self Assessment customers have used HM Revenue and Customs (HMRC) online monthly payment plan service since April to spread the cost of their tax bill, totalling £46 million so far, it has been revealed.

Where customers are struggling to pay their bills in full, the self-serve Time to Pay service allows Self Assessment customers to manage how they pay their tax liabilities.

Customers can use the online service for tax bills worth up to £30,000 without the need to talk to HMRC. The service will create a bespoke monthly payment plan for the customer based on how much tax is owed and the length of time needed to pay.

Last year, 123,000 customers used self-serve Time to Pay to spread the cost of their 2019/20 tax bill, worth £460 million.

Customers have until 31 January 2022 to complete their 2020/21 tax return and pay their bills.

If they can’t pay in full, customers can set up their own Time to Pay arrangement online if they:

  • have filed their 2020/21 tax return
  • owe less than £30,000
  • are within 60 days of the payment deadline
  • plan to pay their debt off within the next 12 months or less

If customers owe more than £30,000 or need longer to pay, they should call the Self Assessment Payment Helpline on 0300 200 3822.

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

“We understand some customers might be worried about paying their Self Assessment bill this year, and we want to support them. To see if you’re eligible to set up a payment plan, go to GOV.UK and search ‘pay my Self Assessment’.”

Self-serve Time to Pay is just one of the ways customers can pay their Self Assessment tax bill, a full list of alternative payment methods is available on GOV.UK.

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