Time to Pay (TTP) – HMRC introduces a ‘self-serve’ scheme

From 1 October, the limit for TTP, the online payment plan service used to set up instalment arrangements for paying tax liabilities, is increased to £30,000 from £10,000.

This means that self-assessment tax payers with liabilities of up to £30,000 can now apply online to spread the cost of their tax liability via instalments.

This increased threshold follows the Chancellor of the Exchequer’s announcement on 24 September to increase support for businesses and individuals through the tricky months ahead.

HMRC estimates that around 95% of self-assessment taxpayers who are due to make payments on 31 January 2021 could qualify to implement a TTP arrangement using the online facility, without needing to speak to an HMRC adviser.

Who can apply?

  • Tax payers who had earlier this year deferred their outstanding tax owed from 2019/2020 to July 2020.
  • Customers with any outstanding tax owed for 2019 to 2020
  • Customers wishing to spread the cost of their first payment on account for this current tax year.

What are the criteria to use the online TTP Scheme?

Self-assessment tax payers wishing to defer their tax bill online and spread the cost must meet the following criteria:

  • Have no other outstanding tax returns
  • Have no other tax debts
  • Have no other HMRC payment plan in place
  • Debts must be between £32 and £30,000

Any payment plans must be in place no later than 60 days after the due date of the debt.

Interest will be payable on the ‘self serve’ TTP scheme and interest will be applied to any outstanding balance from 1 February 2021.

How do I apply?

Payment plans under the self serve scheme can be set up via the following link ( your Government Gateway ID and password will be required)

https://www.gov.uk/pay-self-assessment-tax-bill/pay-in-instalments

Jesse Norman, Financial Secretary to the Treasury, said, ‘We are supporting jobs by giving more breathing space for up to 11m self assessment taxpayers when managing their tax affairs.

‘Enhancing time to pay should ease the financial burdens and protect the livelihoods of these taxpayers, as they navigate the months ahead.’

For more advice please get in touch.


This article is for general guidance only. It provides an outline, and may not include points which are important to your situation. You should not depend on this blog without taking advice based on the full facts of your case. The information given was correct at the time of publication.

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