what happens if i dont pay my tax bill on time?

Answer 1

The Revenue will charge interest and maybe surcharges depending on when the bill is actually paid.
The may also instruct bailiffs to visit you to collect the unpaid tax.

If you are having difficulty in paying you bill, it is important you contact the Revenue as soon as possible as you should be able to negotiate an installment arrangement. This will stop them sending the bailiffs round, but interest will still accrue.

If in doubt, speak to an accountant.

Answer 2

Not a lot to go on here.

I presume this is a self assessment tax bill.

Things are already happening..... you should have paid your bill by 31/01/07 and thus from that date interest is now accruing on the amount outstanding at a rate of 7.5% per annum.

Also the Revenue will present you with a surcharge of 5% of the outstanding amount if the debt has not been paid by the 28/02/07 and this will also attract interest at 7.5% if not paid.

A further 5% surcharge will be raised if the bill has not been paid by 31/07/07.

You will receive a warning letter from the Revenue advising you to pay the outstanding amount by a certain date or distraint action will commence, this is usually the first line of enforcement, but the letter can be worded for you to appear at a Magistrates' court or even the county court to explain why you have not paid your taxes, and you could in the extreme case end up being made bankrupt.

Distraint is where a distraint officer will list goods for removal to be sold at public auction to recover funds to clear the debt. You will have to pay the costs for this action and will be added to your bill. Those costs will include the hire of a baliff to actually remove the goods.

If this does not clear the tax bill it will then go to the county court, and again you will have to pay the costs of this action, and will inevitably end up at the best a ccj (county court judgement) or at the worst be declared bankrupt.

All is not doom and gloom.....

Now the people at the Revenue are reasonable people and will help you resolve the situation if you cannot pay the bill, usually with a time to pay arrangement.

TALK TO THE REVENUE !!!! If a time to pay arrangement is granted then surcharges will be stopped enforcement action will be stopped BUT interest will continue until the debt is cleared.

Be warned however, you only get one go at a time to pay arrangement, so negotiate a time to pay that you can manage. The Revenue will ask for your Income & Expenditure details be honest with them, and they will take a judgement on what is reasonable from this information.

Have a look at the link below........

Answer 3

As long as you file on time, not much will happen, You'll owe interest of course on the unpaid amount, and possibly late-payment penalties. The IRS will set up a payment plan for you, and as long as you make the scheduled payments, you should be OK. If you get to next year and haven't paid it off yet, and have a refund coming, they'll probably take any remaining balance out of your refund.

Answer 4

All Taxes are subject to interest being levied from the date due.
Council Tax want the whole amount in one payment should you fail to pay the percentage due at the time. 10 monthly payment, so be on time.

Answer 5

Firstly if you haven't submitted your SA return in time, you will receive a £100 penalty and you will be charged interest on any amount you owe. HMRC may send an officer to your premises or home to recover these funds if you do not pay. It's not worth it, just pay it now, or ask HMRC for Time To Pay now, if you are struggling with your cash flow. Act Now!!

Answer 6

They slap interest on top now I understand.

Answer 7

All the parasites have to go without their handouts.

Answer 8

penalties and interest

Answer 9

the gremlins will get you