How to Pay Corporation Tax to HMRC (UK 2025/26)

When is Corporation Tax due?

Your Corporation Tax bill is due 9 months and 1 day after the end of your company''s accounting period. For a year ending 31 March 2026, the payment deadline is 1 January 2027.

That is earlier than the CT600 filing deadline (12 months after period end). Most companies pay first, then file the return.

Companies with profits above £1.5 million pay in quarterly instalments — this guide covers the standard case for small companies under that threshold.

The 17-character payment reference

You cannot just use your 10-digit UTR. HMRC requires a 17-character reference made up of:

• Your 10-digit Corporation Tax UTR, followed by
• The letter A, then
• A 4-digit code identifying the accounting period (e.g. 00108A), then
• The letter A again

Example: 1234567890A00108A

Find the correct reference on the HMRC payment reminder ("notice to deliver") or in your HMRC online business tax account under Corporation Tax → "Make a payment". Using the wrong reference is the single most common reason payments end up unallocated — HMRC may then chase you for tax you''ve already paid.

Payment methods

Same-day or next-day (recommended near the deadline)

• Faster Payments (online or telephone banking) — usually arrives the same or next working day. The standard option for most small companies.
• CHAPS — same working day if sent before your bank''s cut-off. Costs £20–£30 in bank fees but useful for large amounts close to the deadline.
• Debit card via GOV.UK — same or next working day. Credit cards are no longer accepted.

HMRC bank details for Faster Payments / CHAPS:

(There is also an HMRC Shipley account — use whichever your payslip specifies; if unsure, Cumbernauld is safe.)

3 working days

• BACS — standard bank transfer, 3 working days
• Direct Debit if you''ve already set one up — first-time Direct Debits take 5 working days

5+ working days

• At your bank or building society — bring your HMRC payslip
• By post — cheques to "HM Revenue and Customs only" with your reference on the back. Allow at least 3 working days to arrive plus 3 to clear

What if I can''t pay on time?

Contact HMRC before the deadline to set up a Time to Pay arrangement on 0300 200 3835. You''ll need:

• Your UTR
• Details of the bill and what you can pay now
• A realistic monthly schedule (usually up to 12 months)

Interest still accrues at the HMRC late-payment rate (currently 8.25% as of late 2026), but the £100+ late-filing penalties don''t apply if you''ve filed the CT600 on time. Filing on time and paying late is far better than the reverse.

What happens if I pay late without an arrangement?

• Interest from the day after the deadline at the HMRC late-payment rate
• HMRC may issue a payment demand, followed by enforcement action (debt collection agency, direct recovery from your bank, or distraint)
• Repeated late payment can trigger a compliance check

Checking your payment has been received

Allow 3–6 working days after you pay, then sign in to your HMRC business tax account → Corporation Tax → "View your statement". If the payment hasn''t appeared after 10 working days, call HMRC on 0300 200 3410 with the payment date, amount and reference.

Quick checklist

1. Find your 17-character reference in your HMRC account or notice to deliver
2. Pick a method that meets the deadline (Faster Payments is the default)
3. Pay to HMRC Cumbernauld, sort code 08 32 10, account 12001039
4. Confirm the payment shows in your HMRC account within 10 working days
5. If you can''t pay, call 0300 200 3835 before the deadline