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When is the deadline for paying your tax bill by credit card?

2-minute read

Sam Bromley

15 December 2017

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Updated for 2019

In 2015/16, 814,261 people paid their tax bill by credit card. This was up from 493,722 credit card payments in 2014/15.

However, HMRC no longer accepts credit card payments. So if you’re looking to pay your tax bill for the 2017-18 tax year, you’ll need to do so using a different method.

Self Assessment taxpayers need to pay their 2017-18 tax bill by 31 January 2019. Read more about the tax return deadlines.

Paying HMRC by credit card

HMRC no longer accepts payment by personal credit card. They accept payments by corporate credit card, although there is a fee.

Why can’t you pay taxes with a credit card?

As part of an EU directive aimed at increasing transparency and fairness around consumer payments, the government introduced a crackdown on merchants charging fees for card payments.

The practice was outlawed from 13 January 2018, in a move the government said could save consumers around £473 million a year.

But this backfired for HMRC. Because card providers can still charge merchants for accepting card payments, merchants have to absorb those costs themselves.

HMRC said it would need to charge those costs back to taxpayers via the public purse, creating an extra burden for taxpayers – so it banned personal credit card payments altogether.

How can I pay my tax bill?

Taxpayers can still pay using debit cards, Direct Debit, Faster Payment, BACS, CHAPS, cheques, and in branch at a bank or building society. Keep in mind the time you need to allow for HMRC to receive the payment depends on how you choose to pay.

Payment methodTime needed
Online or telephone bankingSame or next day
CHAPSSame or next day
Debit or corporate credit card onlineSame or next day
Bank or building societySame or next day
BACSThree working days
Direct Debit (if previously set up with HMRC)Three working days
Cheque in the postThree working days
Direct Debit (if not set up with HMRC before)Five working days

Gather your paperwork, log in online using your Government Gateway user ID and password, file your tax return, and pay your tax bill by 31 January.

Does the ban on paying your tax bill by credit card affect you? Let us know in the comments below.

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We create this content for general information purposes and it should not be taken as advice. Always take professional advice. Read our full disclaimer

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