logo
MENU
profits-g09876ea57_1920

HMRC Raises Late Payment Interest Rate to 3%

Date:
Category:Latest News

HMRC has increased the current late payment interest rate applied to the main taxes and duties to 3% from 2.75% effective from 21 February 2022. 

The 3% rate is applied to late payments for income tax, National Insurance contributions, capital gains tax, stamp duty land tax, stamp duty and stamp duty reserve tax.

The corporation tax pay and filing penalty will also rise to 3% for late payments while the repayment rate remains at 0.5%.

The rate for corporation tax self assessment, if unpaid from normal due date, will also be charged at 3%. The interest charged on underpaid quarterly instalment payments rises to 1.5% from 1.25%.

In line with the December 2021 announcement, interest paid on overpaid quarterly instalment payments and on early payments of corporation tax not due by instalments remains at 0.5%, unchanged since March 2009.

Related news

Spring Statement

The Chancellor, Rachel Reeves, delivered the Spring Statement on Wednesday 26 March, the link below will give you all the information and key points. If you do wish to discuss any of the contents with one of our team, please contact the office on (01623) 420269.

View article

Year End Tax Planning

The run up to the end of the tax year on 5 April 2025 is a good time to check that your family and business finances are arranged in the best way possible. In this Year End Tax Planning Guide, we look at useful ways to take advantage of available tax reliefs and planning opportunities.  […]

View article
ICAEW-chartered-accountantsACCA-platinumACCA-practisingHandpickedsage-logoxero-logoquickbooks-logofreeagent-bronze-partner-badge 2023-RGB

We use cookies to ensure you get the best experience on our website. Read more in our privacy policy.