HMRC has announced it will no longer accept payments made by personal credit cards. The change comes in light of new legislation which has banned companies across the EU from charging surcharge fees for customers using credit or debit cards, without exception.
The change was implemented on 13th January 2018, and is expected to affect thousands over the coming weeks, as over 9 million people in the UK complete their tax returns.
The new legislation comes just over two weeks before the deadline for self-assessment tax returns. It’s important to note than any payments already made using this method will not be affected this time around.
Tax payers may still pay self-assessment debts via debit cards, direct debit, faster payment, BACS and cheque. Although personal credit cards are no longer accepted, HMRC will still accept corporate and business cards.
Other taxes such as stamp duty, VAT or corporation tax are also no longer payable by credit card, however payments to the DVLA are payable by credit card, without the surcharge.
With the 31st January deadline looming, it is imperative you submit your self-assessment tax return and any monies due as soon as possible to avoid penalties. If you would like any further information, please get in touch with one of our tax experts by clicking here.