Can I pay my Self Assessment tax bill in instalments?

Yes. You can pay weekly or monthly towards your 2025-26 bill before 31 January 2027. If you cannot pay in full, owe £30,000 or less and have filed your returns, an online payment plan may be possible.

Which route fits depends on whether your bill is due yet, and whether you can pay it in full. The rules below follow GOV.UK and HMRC's online services as checked on 16 October 2026.

Your options at a glance

Paying ahead with a Budget Payment Plan

A Budget Payment Plan lets you pay weekly or monthly by Direct Debit towards your next Self Assessment bill, so there is less to find on the deadline. You must be up to date with any payments from your last bill. You set it up in your HMRC online account under Direct Debit, and choose how often to pay and how much.

If the plan does not cover the whole bill, you pay the difference by the deadline. If you end up in credit, you can ask for a refund. You can pause payments for up to 6 months.

Worked example. A landlord expects to owe £1,800 on 31 January 2027. Three monthly payments of £600 from November 2026 would cover it. This is an example only.

If your bill includes payments on account, 31 January can bring last year's tax and the first payment towards this year at once. Paying ahead helps spread that.

If you cannot pay: a payment plan

If you have missed the deadline, or cannot pay what you owe, you may be able to set up a payment plan, also called a Time to Pay arrangement. You pay in monthly instalments by Direct Debit. HMRC's online service says that to set one up online you must:

• be up to date with your tax returns
• owe £30,000 or less
• have no other tax debts
• have no other HMRC payment plans set up

You must also be named on the UK bank account you pay from, and be able to authorise a Direct Debit without anyone else's signature. You will need your Unique Taxpayer Reference (UTR) and details of your income and spending.

If you cannot set one up online, contact HMRC. You will be asked what you can pay each month, what you earn and spend, and what savings or investments you have. HMRC checks the plan is affordable. If no plan can be agreed, HMRC will ask you to pay in full. There is no appeal against that decision, but you can complain about how you were treated.

Interest and penalties

Interest is charged on a payment plan at the Bank of England base rate plus 4%. GOV.UK gives the late payment interest rate as 7.75% from 9 January 2026. Paying more each month means less interest overall.

Under the current Self Assessment rules, HMRC's manual says that once HMRC agrees you can pay later, no late payment penalty is charged on that tax from the date you asked, as long as you keep to the agreement. Under the new Making Tax Digital penalties, penalties are paused from the date you contacted HMRC, as long as a plan is agreed and you keep to it.

What this means for you

Paying ahead, through a Budget Payment Plan or a few one-off payments, means there is less to find on 31 January. If you cannot pay in full, GOV.UK says to contact HMRC as soon as possible. If you do not get in touch or cannot agree a plan, GOV.UK says HMRC may use a debt collection agency, collect what you owe from your wages or pension, or take you to court.

Steps to pay your bill in instalments

1. Sign in to your HMRC online account and check what you owe and when, including any payments on account.
2. Find your payment reference: your 10-digit UTR followed by the letter K.
3. If the bill is not due yet and your last bill is paid, set up a Budget Payment Plan under Direct Debit.
4. If you cannot pay, check the online payment plan conditions above and apply, or contact HMRC.
5. Pay on time. Online or telephone banking and a personal debit card usually reach HMRC the same or next day. A first Direct Debit takes 5 working days.
6. If your circumstances change, tell HMRC so the plan can be changed.

Run the free MTD check to see if Making Tax Digital applies to you. There are more guides in the trades section and the landlord section.