Payment on Account Calculator

Calculate your Self Assessment instalment payments for 2026/27. HMRC rates.

Your total Self Assessment tax bill for the previous tax year
Tax already collected, e.g. through PAYE
If known, shows your estimated balancing payment

Payments on account do not apply

Each payment on account £1,500.00
Estimated balancing payment £500.00
Total payments for the year £3,500.00

Payment Timeline - 2026/27

31 January 2027
First payment on account (50%)
£1,500.00
Due during the 2026/27 tax year
31 July 2027
Second payment on account (50%)
£1,500.00
After the tax year ends
31 January 2028
Balancing payment
£500.00
Plus first payment on account for 2027/28
31 Jan 2027 £1,500.00
31 Jul 2027 £1,500.00
31 Jan 2028 (balancing) £500.00
Total cash outflow £3,500.00

Quick Payment on Account Reference

Previous Tax Bill Each POA Total POA
£1,500£750.00£1,500.00
£2,000£1,000.00£2,000.00
£3,000£1,500.00£3,000.00
£5,000£2,500.00£5,000.00
£10,000£5,000.00£10,000.00
£20,000£10,000.00£20,000.00
£50,000£25,000.00£50,000.00

How Payments on Account Work

Payments on account are advance payments towards your next Self Assessment tax bill. HMRC uses them to spread the cost of tax across the year rather than collecting everything in a single lump sum.

Who has to make payments on account?

You must make payments on account if your previous year's Self Assessment tax bill was more than £1,000 AND less than 80% of that tax was collected at source (e.g. through PAYE). If you are employed and most of your tax is handled through your payslip, you may not need to make payments on account.

How are they calculated?

Each payment on account = (Previous tax bill - Tax deducted at source) / 2

HMRC assumes your next year's tax bill will be roughly the same as the previous year, so each instalment is half of the net amount you owed through Self Assessment.

The three payment dates

31 January (during the tax year): First payment on account. This is 50% of the previous year's Self Assessment liability.

31 July (after the tax year): Second payment on account. Another 50% of the previous year's liability.

31 January (following year): Balancing payment. Once you file your return, any remaining tax owed after deducting the two payments on account is due. If you overpaid, you receive a refund.

What if my income changes?

Balancing payment = Actual tax bill - Payment 1 - Payment 2

If your income rises, the balancing payment covers the shortfall. If your income falls, you may receive a refund. You can also apply to HMRC to reduce your payments on account if you expect a lower bill, but be careful: if you reduce too much, HMRC charges interest on the underpayment.

Payment on Account FAQs

Can I reduce my payments on account?
Yes. If you expect your tax bill to be lower than the previous year, you can apply to HMRC to reduce your payments on account. You can do this through your online Self Assessment account or by contacting HMRC directly. Be careful though - if you reduce too much, HMRC may charge interest on the underpayment.
When do payments on account apply?
Payments on account apply when your previous year's Self Assessment tax bill was more than £1,000 AND less than 80% of that tax was already collected at source (for example through PAYE). If either condition is not met, you will not need to make payments on account.
What happens if I pay my payments on account late?
HMRC charges interest on late payments on account from the due date until the payment is received. The interest rate is the Bank of England base rate plus 2.5%. There is no automatic penalty for late payments on account, but persistent late payment may trigger further action from HMRC.