With the forthcoming Self Assessment payment date of 31st January 2023 just 3 weeks away HMRC have increased the late payment and repayment interest rates applied to the main taxes and duties that HMRC currently charges and pays interest from 6th January 2023:
- late payment interest rate — 6% from 6 January 2023
- repayment interest rate — 2.50% from 6 January 2023
If you cannot pay your tax bill on time contact HMRC as soon as possible.
If you cannot pay your tax bill in full, you may be able to set up a payment plan to pay it in instalments. This is called a ‘Time to Pay’ arrangement. This can also be set up online subject to the amount you owe.
The link to HMRC setting up a payment plan is below
Disclaimer - All information in this post was correct at time of writing.