Paying tax on rental income: payments on account, 31 January and 31 July

In the UK, Self Assessment payment dates and payment routes are the same in England, Wales, Scotland and Northern Ireland. Scotland has different income tax rates for Scottish taxpayers, but the 31 January and 31 July Self Assessment dates do not change.

When do you have to pay your Self Assessment tax bill?

You normally have to pay your Self Assessment tax bill by midnight on 31 January after the tax year ends, with a second payment on account due by midnight on 31 July if payments on account apply.

HMRC states that 31 January is “for any tax you owe for the previous tax year (known as a balancing payment) and your first payment on account”, so a landlord filing for 2025/26 pays the balancing bill and, if required, the first advance instalment for 2026/27 on 31 January 2027. The second payment on account is then due on 31 July.

That is the practical answer to how long you have to pay your tax bill in the UK: the due date for income tax under Self Assessment is not when you receive rent, but the statutory Self Assessment payment date. Late payment is expensive because HMRC says, “You’ll be charged interest and may be charged a penalty if your payment is late.”

What are payments on account on rental income?

Payments on account on rental income are not a special landlord rule: they are ordinary Self Assessment advance payments towards next year’s tax bill, normally due in two instalments on 31 January and 31 July.

HMRC explains that payments on account “help spread the cost of your tax by making payments in 2 instalments” and that “Each payment is usually half of the tax you owed the previous year.” If your final tax bill is higher than the two advance payments, the difference becomes a balancing payment due the following 31 January. A first-time filer can get caught by this because HMRC says that if you did not make payments on account last year, including because it is your first Self Assessment, “you’ll need to pay both” the balancing payment and the first payment on account.

Payments on account are due to change from April 2029 to “smaller, more regular contributions”, but that does not alter the 2026/27 31 January and 31 July dates.

Are payments on account compulsory, or can you opt out?

Payments on account are compulsory unless last year the tax you owed was less than £1,000, or you paid more than 80% of the tax you owed outside Self Assessment.

The 80% exemption turns on the tax “you owed”, not the tax you happened to pay through Self Assessment; HMRC’s wording is that the exemption applies where “last year you paid more than 80% of the tax you owed outside of Self Assessment”. A landlord with a PAYE job usually meets that only if most of the total tax is collected through the tax code; landlords with rental profit are otherwise commonly in scope.

You cannot simply opt out of HMRC payment on account rules, but you can ask to reduce them if the new bill will be lower: HMRC says, “If you know the tax you owe is going to be lower than last year, you can ask HM Revenue and Customs (HMRC) to reduce your payments on account.” The claim must be made by 31 January after the tax year ends, and reducing too far costs interest on the difference.

Will HMRC send you a tax bill?

HMRC will normally send or show you a Self Assessment statement after you file, but you remain responsible for paying by the deadline even if no paper bill arrives.

HMRC says, “You’ll get a statement after you file your tax return or if your circumstances change.” That statement is the bill, and it can appear online or be sent by post depending on how you deal with HMRC. The trap is filing close to 31 January: HMRC warns, “If you submit your tax return late or near to the submission deadline, you may not get a Self Assessment statement before your payment deadline.”

In that situation, use the tax calculation, SA302 or online account balance rather than waiting for a letter. For rental income, the important point is that the 31 January and 31 July payment dates run independently of whether HMRC has posted a statement in time.

How do you pay your Self Assessment tax bill?

You pay your Self Assessment tax bill using HMRC’s approved payment routes, choosing a method early enough for the money to reach HMRC by the deadline.

Online or telephone banking by Faster Payments is usually the quickest bank route because HMRC says, “Payments by Faster Payments (online or telephone banking) usually reach HM Revenue and Customs ( HMRC ) on the same or next day, including weekends and bank holidays.” CHAPS usually reaches HMRC the same working day if you pay within your bank’s processing times, while Bacs usually takes 3 working days.

You can also pay by debit card online, but HMRC is explicit: “You cannot pay by personal credit card.” Direct Debit is slower the first time because HMRC says, “Allow 5 working days to process a Direct Debit the first time you set one up.” If you have PAYE income, coding out is possible only where the Self Assessment bill is under £3,000 and the online return is filed by 30 December.

Can you pay your tax early?

You can pay Self Assessment early, including by instalments before the deadline, and early payments reduce the risk of missing the 31 January or 31 July date.

HMRC says, “You can pay the amount you owe in instalments before the deadline, if you prefer.” For planned saving rather than arrears, a Budget Payment Plan is the cleanest route: HMRC says, “You can set up a Budget Payment plan to make weekly or monthly Direct Debit payments towards your next Self Assessment tax bill.” You can also make one-off payments by bank transfer or card before the bill becomes due, provided you use the correct Self Assessment reference so HMRC allocates it to your account.

A landlord with seasonal or uneven rental income may find early payments less painful than waiting for the whole 31 January bill, especially where the first payment on account falls on the same day as the balancing payment. Abodient’s Tax estimate card shows how much to set aside each month, worked out from the rent and expenses you record, so the money for 31 January and 31 July is put by as you go rather than found at the last minute.

Can you pay your tax bill in instalments if you cannot afford it?

You may be able to pay an overdue Self Assessment tax bill in instalments through HMRC Time to Pay, but you should use a Budget Payment Plan before the deadline rather than waiting for the bill to become overdue.

HMRC’s current difficulty-paying guidance says, “If you cannot pay your tax bill in full, you may be able to set up a payment plan to pay it in instalments.” The online plan is for arrears, not early budgeting: HMRC says, “You may be able to set up a payment plan to pay your overdue tax bill in monthly instalments.” Older HMRC material says the self-serve threshold rose to £30,000 and referred to a 60-day window, but current guidance also says, “There’s no time limit on how long a payment plan can last,” so do not treat the old online limit as the whole Time to Pay system. HMRC will assess affordability, usually asking for about half of what is left after essential bills, and interest continues until the debt is cleared.

Last reviewed November 2026.

Sources

• GOV.UK, Pay your Self Assessment tax bill: deadlines — “31 January - for any tax you owe for the previous tax year (known as a balancing payment) and your first payment on account” Source
• GOV.UK, Pay your Self Assessment tax bill: deadlines — “You’ll be charged interest and may be charged a penalty if your payment is late.” Source
• GOV.UK, Understand your Self Assessment tax bill: payments on account — “They help spread the cost of your tax by making payments in 2 instalments.” Source
• GOV.UK, Understand your Self Assessment tax bill: payments on account — “Each payment is usually half of the tax you owed the previous year.” Source
• GOV.UK, Understand your Self Assessment tax bill: payments on account — “If you did not make any payments on account last year (for example, because it's your first time filing Self Assessment) you'll need to pay both:” Source
• GOV.UK, Budget 2026 document — “From April 2029, taxpayers who already make Payments on Account will make smaller, more regular contributions towards their tax bill throughout the year, bringing payment closer to when income is earned.” Source
• GOV.UK, Understand your Self Assessment tax bill: payments on account — “last year you paid more than 80% of the tax you owed outside of Self Assessment (for example through your tax code or because your bank had already deducted interest on your savings)” Source
• GOV.UK, Understand your Self Assessment tax bill: payments on account — “If you know the tax you owe is going to be lower than last year, you can ask HM Revenue and Customs (HMRC) to reduce your payments on account.” Source
• GOV.UK, Claim to reduce payments on account — “You must claim by 31 January after the end of the tax year.” Source
• GOV.UK, Understand your Self Assessment tax bill: payments on account — “If you reduce your payments on account and your tax bill is higher than expected, you'll be charged interest on the difference.” Source
• GOV.UK, Understand your Self Assessment bill — “You’ll get a statement after you file your tax return or if your circumstances change.” Source
• GOV.UK, Self Assessment statements — “If you submit your tax return late or near to the submission deadline, you may not get a Self Assessment statement before your payment deadline.” Source
• GOV.UK, Pay your Self Assessment tax bill: bank details — “Payments by Faster Payments (online or telephone banking) usually reach HM Revenue and Customs ( HMRC ) on the same or next day, including weekends and bank holidays.” Source
• GOV.UK, Pay your Self Assessment tax bill: by debit or credit card online — “You cannot pay by personal credit card.” Source
• GOV.UK, Pay your Self Assessment tax bill: Direct Debit — “Allow 5 working days to process a Direct Debit the first time you set one up.” Source
• GOV.UK, Pay your Self Assessment tax bill — “You can pay the amount you owe in instalments before the deadline, if you prefer.” Source
• GOV.UK, Pay your Self Assessment tax bill weekly or monthly — “You can set up a Budget Payment plan to make weekly or monthly Direct Debit payments towards your next Self Assessment tax bill.” Source
• GOV.UK, Difficulties paying HMRC — “If you cannot pay your tax bill in full, you may be able to set up a payment plan to pay it in instalments.” Source
• GOV.UK, Difficulties paying HMRC: pay in instalments — “You may be able to set up a payment plan to pay your overdue tax bill in monthly instalments.” Source
• GOV.UK, Self Assessment customers use online tax payment plans to help spread the cost — “In October, HMRC increased the threshold for self-serve Time to Pay arrangements from £10,000 to £30,000 for Self Assessment customers.” Source
• GOV.UK, Difficulties paying HMRC: how much you pay — “There’s no time limit on how long a payment plan can last.” Source
• GOV.UK, Difficulties paying HMRC: how much you pay — “You’ll usually be asked to pay around half of what you have left over each month towards the tax you owe.” Source