When it comes to UK tax returns and student tax refunds, many things can be confusing. You will have many questions; Am I doing it right, will I get penalized, etc. Well not to worry our guide below has you covered as we discuss how to pay your tax bill.
How to Pay Your Tax Bill
When it comes to paying your tax bill, HMRC accepts most payment methods. For many today the easiest is paying online by card. The snag here is that you can only use a debit card. You could pay through a direct debit or through a direct bank transfer. A little more old-fashioned way is paying by cheque at post, or at your bank or building society; in which case you need to remember to bring a paying-in slip from HMRC.
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What You Need to Remember:
When submitting UK tax returns when you are ready to pay your tax bill, have your UTR number ready. Payments can take from 1 to 5 working days to reach HMRC, it may not be real time. Be aware that if the payment deadline falls on a bank holiday or a weekend, your payment needs to reach HMRC before that. If not, you will be fined.
What if I Cannot Pay My Tax Bill on Time?
If for some reason, you could not pay your tax bill on time, immediately contact HMRC. HMRC will take into consideration the reason you are struggling to pay the amount you owe. They will tell you an amount you could pay at the moment. And you will be able to arrange a payment plan for paying the rest of your tax bill. This is especially important if you are dealing with student tax refunds.
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