Important Tax Deadline on July 31, 2026

There are two key tax deadlines each year.

Millions of taxpayers must act before a significant date in the UK's tax calendar.

The HMRC self assessment payment on account deadline is on July 31, 2026. This deadline affects self-employed individuals, freelancers, landlords, and business owners. They must submit their second instalment for the 2024/25 tax year by July 31.

The payment on account is an advance contribution towards a taxpayer's forthcoming tax bill. Many know the self-assessment filing deadline in January, but the July payment often surprises people.

Payments on account apply to taxpayers whose self-assessment tax bill exceeds £1,000 and where less than 80% of their tax has been deducted at source.

Self assessment customers need to take action.

Missing the deadline can trigger a late payment interest charge and may attract HMRC's attention, possibly resulting in additional examination of an individual's tax affairs. This can lead to more problems.

Seb Maley, CEO of Qdos, said the January tax return deadline gets all the attention, but July is another big date that can easily catch people out. For many self-employed workers, it's one that can easily be overlooked and can feel like a nasty surprise.

But the worst thing you can do is ignore the problem. With the deadline now just a month away, it's vital to check what you owe and make sure you're prepared. You must take action now.

Missing the payment can quickly become costly, with interest charges adding up and HMRC potentially taking a closer look at those who fail to pay on time.

HMRC explains that payments on account are payments towards your next tax bill. They help spread the cost of your tax by making payments in 2 instalments. Each payment is half of the tax you owed last year.

These payments are due by midnight on January 31 and July 31. You must make these two payments, unless either the amount of tax you owed last year was less than £1,000 or last year you paid more than 80% of the tax you owed outside of Self Assessment.

Your Self Assessment statement or online account will show you how much they are, if you need to pay them.

There are potential penalties.

HMRC adds that payments on account are calculated based on your estimated earnings. Each payment is usually half of the tax you owed the previous year. You must understand this to avoid problems.

If you actually earn more than estimated, you may still have tax to pay on top of your payments on account. This is known as a 'balancing payment'. If you earn less than estimated, you may be able to claim a tax refund. You must report any changes to HMRC.

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