You'll usually have to make two payments on account for the current year's tax:
- One by 31 January in the current year.
- One by the following 31 July.
Each payment is half of the tax due for the previous year.
For example, for the tax year 2019-20 (6 April 2019 to 5 April 2020), the first payment on account will be due on 31 January 2020. The second payment on account will be due on 31 July 2020.
Exemption
There are some circumstances in which a payment on account will not be due. If your tax bill for the previous year was less than £1,000 after PAYE or other deductions at source or (or under £500 for 2007–08 and earlier) , you won't need to make a payment on account. Similarly, no payment on account will be due if, in the previous tax year, 80 per cent or more of your tax was deducted at source.
For example, if your liability is under £1,000 in 2019–20, you'll make a single payment on 31 January 2020, instead of two payments on account.
Please note: Class 2 NIC payments are not considered for the calculation of payments on account however, Marriage Allowance (if any needs to be deducted from the current year's tax liability (added back) before the calculation for payments on account can be completed.
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