Tax Timetable

Personal tax and national insurance payments are due on 31 January and 31 July each year. The 31 January payment is made up of any balance of income tax and Class 4 national insurance contributions plus any capital gains tax due for the preceding tax year, and the first payment on account of the current year’s liability. The second payment on account is made on 31 July.

Your payments on account are set by reference to your liability for the previous year, so your 2005/06 payments on account are set by reference to your 2004/05 liability. The standard is that each 2005/06 payment on account will be equal to 50% of your self-assessed tax for 2004/05.

There are two ways in which providing us with information sooner can help us to help you.

First, we can help you to plan for your tax payments – knowing how much is payable, and when, will mean you can plan to have funds available. But perhaps more important is our option to make a claim for a reduction in your payments on account, if we know that your tax liability will be less. Keeping us informed, and giving us information as soon as it is available, can help your cash flow.