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Once your bill passes £1,000, HMRC asks you to pay towards next year in advance, half in January and half in July. This shows the three figures.
Income tax plus Class 4 National Insurance on the return. The estimators give you a figure.
PAYE on a salary or pension. Leave at 0 if none.
The two payments in January and July 2026, if HMRC asked for them.
Nothing you type is saved or sent anywhere.Due on 31 January 2027£0Type your bill to see what is due and when.
Balancing payment for 2025/26£0.00
First payment on account for 2026/27£0.00
Then on 31 July 2027: second payment on account£0.00
Payments on account are each half of this year’s bill, set against next year’s. If you expect next year’s income to fall, you can ask HMRC to reduce them, but interest is charged if you reduce too far. Capital gains tax and student loan repayments are not included in payments on account. An estimate, not advice.
How it works, and how to soften it.
The first January is the shock. After that it evens out.
How it works
In your first year of owing more than £1,000, 31 January brings the year’s bill plus half of it again as a first payment on account for the following year. 31 July brings the second half. The next January, you pay the balance of that year’s real bill after the two payments on account, plus the first payment towards the year after. It evens out, but the first January is a shock if nobody warned you.
Payments on account don’t apply if 80% or more of your tax was collected at source, for example through PAYE on a salary alongside a small side income.
Reducing them
If you know next year’s income will be lower, you can ask HMRC to reduce the payments on account, online or on the return. Reduce them below what turns out to be due and HMRC charges interest on the shortfall, so be realistic.
What’s paid in full in January.
What is not included
Capital gains tax and student loan repayments are paid in full on 31 January and never spread into payments on account. Class 2 National Insurance is likewise settled in January.
Both dates, both amounts.
Swiftmore shows the January and July figures with the return, so the first payment on account is never a surprise. Your main return (the SA100) and the pages your year needs, written from your records.
Start free£99 when you file. No card to start.
Start freeFree to keep records. £99 for a tax year you read and file. No card to start.