HMRC July Tax Deadline 2026: Key Dates, Rules and Payment Options

Last updated: 30 June 2026

Editorial note: This guide has been reviewed against current HMRC and GOV.UK information available on 30 June 2026. Tax rules, interest rates, payment services and individual account balances can change.

Taxpayers should confirm their position through their personal HMRC online account or the official HMRC app before making a payment.

Important: This article provides general UK tax information and does not constitute personalised tax, legal, financial or debt advice. Anyone dealing with complex tax matters, disputed liabilities or significant arrears should seek support from HMRC or an appropriately qualified professional.

For many self-employed individuals, landlords, partners and small business owners, 31 July 2026 is an important UK tax date, but it is often misunderstood.

The HMRC July tax deadline is usually not a filing deadline. It is generally the deadline for the second payment on account for the 2025/26 Self Assessment bill, as confirmed in the HMRC July Self Assessment announcement.

Taxpayers who made a first payment by 31 January 2026 may need to pay their second instalment by midnight on 31 July 2026. The amount due should appear in the Self Assessment statement, HMRC online account or app.

Late payments can lead to interest and possible penalties, and using the wrong payment reference may delay allocation.

Key takeaways:

• 31 July 2026 is a payment deadline, not a filing deadline
• It covers the second payment on account for 2025/26
• Late payments may incur interest
• Always use the correct payment reference to avoid delays

What Is the HMRC July Tax Deadline in 2026?

The HMRC July tax deadline falls on Friday, 31 July 2026. For most affected taxpayers, it is the due date for the second Self Assessment payment on account for the 2025/26 tax year.

Payments on account are advance payments towards the next Self Assessment bill. HMRC normally divides them into two instalments, with each instalment usually equal to half of the qualifying tax owed for the previous year. The official rules are explained in the GOV.UK payments-on-account guidance.

The standard payment cycle normally works as follows:

• 31 January 2026: First payment on account towards the 2025/26 bill
• 31 July 2026: Second payment on account towards the 2025/26 bill
• 31 January 2027: Any balancing payment for 2025/26, together with the first payment on account for 2026/27 where required

A balancing payment arises when the two advance instalments do not fully cover the taxpayer’s final liability.

The July date is therefore mainly a payment deadline rather than a filing deadline. The normal online filing deadline for the 2025/26 Self Assessment return is 31 January 2027. Paper returns for that tax year are normally due by 31 October 2026.

Who Needs to Make a Self Assessment Payment by 31 July 2026?

A taxpayer may need to pay HMRC by 31 July 2026 when a second payment on account has been created for the 2025/26 tax year.

This can affect:

• Self-employed individuals and sole traders
• Members of business partnerships
• Landlords receiving taxable rental income
• Individuals receiving substantial untaxed income
• Some company directors with income outside PAYE
• People with investment or overseas income that is not fully taxed at source

Under HMRC’s standard rules, payments on account are normally required unless either the previous year’s qualifying tax liability was less than £1,000 or the taxpayer paid more than 80% of the tax owed outside Self Assessment, such as through PAYE.

The first exemption applies where the liability was under £1,000, and the second where more than 80% of tax was collected outside Self Assessment.

Payments on account usually cover Income Tax and may include Class 4 National Insurance, but not Capital Gains Tax or student loans, which are settled in the balancing payment.

Being registered for Self Assessment does not always mean a July payment is due, and taxpayers should not assume nothing is owed if no demand has been received.

How Do HMRC Payments on Account Work?

HMRC uses payments on account to collect part of a taxpayer’s expected liability in advance. The system is particularly relevant where tax is not collected automatically through PAYE.

Each instalment is usually half of the previous year’s qualifying Self Assessment liability. The first is due by midnight on 31 January and the second by midnight on 31 July. HMRC explains the calculation and balancing-payment process in its payments-on-account guide.

The taxpayer’s final liability is confirmed after the next tax return is completed. If the two advance payments are lower than the final amount owed, the difference becomes a balancing payment. If the advance payments exceed the final bill, the taxpayer’s account may show a credit or repayment.

How Is the July Payment Calculated?

Suppose a taxpayer’s qualifying Self Assessment liability for 2024/25 was £6,000. HMRC may calculate two payments on account of £3,000 each towards the 2025/26 bill:

Payment	Normal due date	Illustrative amount
First payment on account	31 January 2026	£3,000
Second payment on account	31 July 2026	£3,000
Total paid towards 2025/26	—	£6,000

If the final 2025/26 liability is £6,800, the taxpayer would normally have a balancing payment of £800 to make by 31 January 2027.

A new first payment on account for 2026/27 may also become due on that date. This is why a January payment can be higher than expected: it may include both the outstanding balance for one tax year and an advance payment towards the next.

What Happens When the Final Bill Changes?

Consider a sole trader whose qualifying 2024/25 tax liability was £8,000. HMRC may request two advance payments of £4,000 towards 2025/26.

The first £4,000 would normally have been due on 31 January 2026. The second £4,000 would be due by the HMRC July tax deadline on 31 July 2026.

If the final 2025/26 liability is £7,200, the £8,000 already paid would exceed the final liability by £800. The credit may be offset against other sums due or repaid, depending on the taxpayer’s account.

If the final liability is £9,500, a balancing payment of £1,500 would normally be required by 31 January 2027.

Accurate bookkeeping and regular profit forecasts are therefore important. Businesses that wait until January or July to review their tax positions may face avoidable cash-flow pressure.

What Is the Tax Return Deadline UK Taxpayers Should Know in 2026?

The phrase tax return deadline UK can refer to several different dates. The correct deadline depends on the relevant tax year, whether the return is filed online or on paper and whether the taxpayer needs to make payments on account.

Key UK Self Assessment Deadlines for 2026:

Date	Main obligation
31 January 2026	Online 2024/25 return, balancing payment and first 2025/26 payment on account
31 July 2026	Second payment on account for 2025/26
5 October 2026	Usual deadline to notify HMRC of a new Self Assessment requirement for 2025/26
31 October 2026	Paper Self Assessment tax return deadline for 2025/26
30 December 2026	Online filing deadline for eligible taxpayers requesting collection through PAYE
31 January 2027	Online 2025/26 return, balancing payment and first 2026/27 payment on account

New taxpayers must usually notify HMRC by 5 October 2026. Paper returns are due by 31 October 2026, while the online tax return deadline for Self Assessment is 31 January 2027.

The 30 December deadline applies only to eligible taxpayers requesting PAYE collection and does not replace the July payment on account.

How Can Taxpayers Use HMRC Tax Return Online Services and Pay HMRC Online?

The safest starting point is the taxpayer’s official HMRC tax return online account or the official HMRC app. The Self Assessment statement should show the current balance, previous transactions, payments on account and any interest already added.

Before paying, the taxpayer should confirm:

• Whether the amount is described as a second payment on account
• Whether previous payments have been credited correctly
• Whether a payment-on-account reduction has been processed
• Whether the correct tax year and liability are displayed
• Whether enough time remains for the selected payment method

Taxpayers can normally pay HMRC online tax return liabilities through an approved online bank account service, Faster Payments, CHAPS or debit card. Other available methods can include Bacs and Direct Debit.

Faster Payments usually reach HMRC on the same or following day, including weekends and bank holidays. CHAPS usually arrives on the same working day when the bank’s processing deadline is met, while Bacs normally takes three working days. See HMRC’s bank-transfer instructions and processing times.

Processing times can change, so anyone paying close to the deadline should check the current GOV.UK guidance and ensure that the funds reach HMRC by the due date.

What Happens If the HMRC July Tax Deadline Is Missed?

When a payment is not made by 31 July 2026, HMRC normally charges late-payment interest from the date the amount becomes overdue.

As at 30 June 2026, HMRC’s published late-payment interest rate for the main taxes is 7.75%, effective from 9 January 2026. The rate is linked to the Bank of England base rate and can change, so taxpayers should check the current rate rather than rely permanently on this figure.

Which Late-Payment Penalties Can Apply?

HMRC states that Self Assessment late-payment penalties can be charged at 5% of the tax remaining unpaid at:

• 30 days
• Six months
• 12 months

Interest is charged separately from these penalties.

A missed payment deadline is different from a missed filing deadline. The initial £100 late-filing penalty does not arise merely because a July payment was late, although interest and late-payment penalties may still increase the total amount owed.

What Should a Taxpayer Do After Missing the Deadline?

The taxpayer should sign in to the Self Assessment account and confirm the outstanding amount. Where the figure appears correct, payment should generally be made as soon as possible to limit further interest.

The taxpayer should then:

• Save the payment confirmation
• Check that the correct payment reference was used
• Review the account after the processing period
• Contact HMRC if a payment remains unallocated
• Seek professional advice if the liability appears incorrect

If a payment was already made but is not showing, the taxpayer should review the bank transaction and payment reference before making a duplicate payment.

Can HMRC Offer Time to Pay?

A taxpayer unable to pay in full may arrange instalments through HMRC’s Time to Pay. HMRC will review income, spending, savings and debts to assess affordability.

Approval is not guaranteed. If the bill is not overdue, eligible taxpayers may set up a Budget Payment Plan to make regular contributions.

Contact HMRC early to avoid rising debt, as interest may still apply. Businesses facing financial difficulty should seek advice from a qualified accountant, tax adviser or licensed insolvency practitioner.

Can the July Payment on Account Be Reduced?

A taxpayer can ask HMRC to reduce payments on account where there is a reasonable expectation that the current year’s tax liability will be lower than the previous year’s amount.

A reduction may be appropriate where:

• Business profits have fallen
• The taxpayer has stopped trading
• Rental income has decreased
• More tax is being deducted through PAYE
• Allowable expenses have increased
• The taxpayer has moved from self-employment into employment

The request can normally be made through the taxpayer’s HMRC online account or by submitting form SA303. The taxpayer must provide the amount they expect to owe so that HMRC can recalculate the instalments.

The reduced figure should be based on a realistic estimate. It should not be selected simply because the original payment is inconvenient.

If the payments are reduced too far and the final liability is higher than expected, HMRC can charge interest on the underpaid difference.

For example, suppose two original payments on account were £3,000 each, but the business reasonably expects its final liability to fall to £4,000. It may request that each instalment be reduced to £2,000.

If the final liability is £4,000, the reduced instalments would cover the bill. If the final liability is £5,500, a £1,500 balancing payment would arise and interest may apply because the payments were reduced below the appropriate level.

A reasonable forecast should consider year-to-date profits, expected income, allowable expenses and tax already deducted. Significant or complex reductions should be discussed with a qualified tax adviser.

How Can Small Businesses Prepare for Future HMRC Tax Deadlines?

Managing tax throughout the year is the best way to avoid last-minute pressure before the HMRC July tax deadline.

Keeping accurate financial records and reviewing your tax position regularly can help you plan ahead and reduce the risk of unexpected payments.

Practical Steps to Stay Prepared

Small businesses can improve tax planning by:

• Reviewing projected profits before the January and July deadlines.
• Keeping accounting records accurate and up to date.
• Setting aside money in a dedicated tax savings account.
• Reconciling HMRC records with internal accounts.
• Retaining tax returns and payment confirmations.
• Checking payment references before making transfers.
• Seeking professional advice before reducing payments on account.

Planning ahead gives businesses more time to arrange funds, correct any errors and deal with HMRC if payment support is required. A proactive approach can also improve cash flow and make future tax deadlines easier to manage.

Conclusion

The HMRC July tax deadline 2026 is mainly for the second payment on account for the 2025/26 Self Assessment bill. Due by 31 July 2026, it is an advance payment, separate from the 31 January 2027 filing deadline.

Taxpayers should check their HMRC account, use the correct reference, and allow processing time. If income has fallen, payments may be reduced. Those unable to pay should contact HMRC early to manage repayments and limit interest.

FAQs About HMRC July Tax Deadline

What is the deadline for tax return 2026?

For the 2025/26 tax year, the paper return deadline is normally 31 October 2026. The online Self Assessment return is normally due by 31 January 2027.

When do I submit my tax return for 25/26?

A 2025/26 paper return should normally be submitted by 31 October 2026, while an online return should normally be submitted by 31 January 2027. A newly affected taxpayer may also need to notify HMRC by 5 October 2026.

What is the tax return deadline for Self Assessment?

The standard online tax return deadline for Self Assessment is 31 January following the end of the relevant tax year. For 2025/26, that date is 31 January 2027.

What date is tax due in July?

The second payment on account for 2025/26 is normally due by midnight on 31 July 2026. The taxpayer’s HMRC account should be checked to confirm whether a payment is required.

How do taxpayers pay HMRC online tax return amounts?

Taxpayers can use the payment options provided through GOV.UK, including an online bank account, debit card, Faster Payments or other approved methods. They must use the correct Self Assessment payment reference.

Can businesses use the same reference to pay HMRC online PAYE tax?

No. PAYE and Self Assessment use different payment references and must be paid through the correct tax service. Using a Self Assessment UTR for a PAYE payment can delay allocation.

Can the second payment on account be paid before 31 July 2026?

Yes. A taxpayer can generally pay before the deadline or make smaller advance contributions. The correct Self Assessment reference must still be used.

Is a July payment still required when a sole trader has stopped trading?

It may remain due until the payment on account is formally reduced or the final liability is calculated. The taxpayer should update HMRC and revise the estimate rather than simply leaving the instalment unpaid.

Sources and Editorial Standards

This article has been prepared using official guidance published by HM Revenue & Customs on GOV.UK, together with professional tax commentary from the Institute of Chartered Accountants in England and Wales.

Tax deadlines, payment methods, interest rates and eligibility rules may change, so taxpayers and businesses should review their HMRC online account and the latest official guidance before taking action.