July Tax Payment on Account

July Tax Liability

By now anyone who must make a payment on account towards their January 2026 tax liability should have paid this by 31 July 2025.

This is meant for anyone who must complete a tax return and most of their income is not taxed at source e.g. self-employed, employed and self-employed.

What Happens if I Don’t Pay This

Despite HM Revenue & Customs sending you reminders that you have not paid, and you may even get a call from them.

When your 2025 tax return is prepared you will find that you have underpaid your tax for the year and interest will be charged on this amount making this a larger balancing payment and this could result in a larger payment on account for the following year tax which will be due in two halves on 31 January and July every year.

Business Support Helpline

If you have a large payment on account to make and you going through some hardship you could call the time to pay helpline who may agree for you to pay this over the coming months by direct debit. This will not stop any interest being charged but you will not get any surcharge of unpaid tax.

Getting Your Tax Return submitted

If you get your tax return and it turns out that you do not have to make the July 2024 payment on account due to a drop of income or profit, then by submitting the tax return the tax office will update your records and the payment will not be chased.

The tax return is what they will require, they will not take this as confirmation if you call them, they will ask you to get the tax return submitted.