Around 100,000 self-assessment taxpayers have set up payment plans to split the cost of their tax bills into monthly instalments in 2021/22.

Individuals have paid over £310 million in manageable instalments using time-to-pay arrangements since April 2021.

The online service can be set up for up to 12 months if an individual has a tax debt of up to £30,000, or is struggling to pay.

For payments relating to the 2020/21 tax year, HMRC has given taxpayers until 1 April 2022 to set up such an arrangement or pay their liabilities in full.

Myrtle Lloyd, HMRC's director-general for customer services, said:

"We understand some customers might be worrying about paying their self-assessment bill this year, and we want to support them."

Anyone who did not file their 2020/21 tax return by 31 January 2022 will not receive a late-filing penalty if they file by 28 February 2022.

Since 1 February 2022, all outstanding tax bills have been subject to interest at 2.75%.

Talk to us about any aspect of self-assessment.

Subscribe To Our Newsletter

By submitting your details you agree to receive email marketing from EV Accountants and have read and understood our Privacy Notice. You can withdraw your consent or change your preferences at any time by emailing us or by clicking the link at the bottom of every email we send you.

You have Successfully Subscribed!