How to Pay Corporation Tax: Deadlines, Payment Reference and HMRC Bank Details

Short answer: most limited companies must pay corporation tax 9 months and 1 day after the end of their accounting period. HMRC does not send a bill; you work out what is due, then pay online, by bank transfer or by Direct Debit using your company’s 17-character payment reference. For example, if your company’s year ended on 31 December 2025, your corporation tax must reach HMRC by 1 October 2026.

When Is Corporation Tax Due?

Corporation tax has two separate deadlines, and many directors confuse them. The payment deadline comes first, before the tax return is due.

Some common year ends and their deadlines:

If the deadline falls on a weekend or bank holiday, make sure your payment reaches HMRC by the last working day before it, unless you pay by Faster Payments, which can clear on the day itself.

How Much Corporation Tax Do I Owe?

You calculate the liability yourself, usually as part of preparing the company’s year-end accounts and CT600. The current rates are:

• 19% (small profits rate) on taxable profits up to £50,000
• 25% (main rate) on taxable profits over £250,000
• Marginal relief between £50,000 and £250,000, giving an effective rate that rises gradually from 19% to 25%

These limits are divided by the number of associated companies and reduced for accounting periods shorter than 12 months. Use our corporation tax calculator to estimate your bill, including marginal relief.

Because payment is due before the return, it makes sense to finalise your accounts well within 9 months of your year end. If you pay an estimate and the final figure is higher, interest runs on the shortfall from the original due date.

How to Find Your Corporation Tax Payment Reference

Every corporation tax payment needs a 17-character payment reference. It is based on your company’s 10-digit Unique Taxpayer Reference (UTR), but it also identifies the accounting period you are paying for, so the reference changes for each period.

You can find it:

• in your company’s HMRC business tax account, under corporation tax for the relevant period
• on any payment reminder or payslip HMRC has sent for that period
• on the ‘notice to deliver a Company Tax Return’ (CT603) that HMRC sends after your year end

Do not use your 10-digit UTR on its own, and do not reuse last year’s reference. A wrong reference is one of the most common reasons a payment is allocated to the wrong period, which can trigger late payment interest even though you paid on time.

Ways to Pay Corporation Tax

Allow enough time for your chosen method to reach HMRC by the deadline:

Personal credit cards are not accepted. HMRC charges a fee for corporate credit card payments, but not for corporate debit cards.

HMRC Bank Details for Corporation Tax

If you pay by bank transfer, use the account HMRC specifies for corporation tax. At the time of writing, UK payments go to:

• Account name: HMRC Cumbernauld
• Sort code: 08 32 10
• Account number: 12001039
• Reference: your 17-character corporation tax payment reference

Always check the current details on GOV.UK or in your business tax account before sending a payment. HMRC uses different accounts for PAYE, VAT and Self Assessment, and payments sent to the wrong one can take weeks to reallocate. Payments from overseas use different details (an IBAN and BIC), also listed on GOV.UK.

Watch for scams. HMRC will never ask you by email or text to pay corporation tax into a new or personal account. If you receive a message with new bank details, do not pay; check your business tax account directly.

What Happens If You Pay Late?

HMRC charges late payment interest from the day after the deadline until the day the tax is paid. Since April 2025 the rate has been the Bank of England base rate plus 4%. Late payment interest is deductible for corporation tax, but it is still an avoidable cost.

Filing the CT600 late brings separate late filing penalties:

• 1 day late: £100
• 3 months late: another £100
• 6 months late: HMRC estimates your bill and adds a penalty of 10% of the unpaid tax
• 12 months late: another 10% of any unpaid tax

If your return is late three times in a row, the £100 penalties rise to £500 each.

If you know your company cannot pay in full, contact HMRC before the deadline to ask about a Time to Pay arrangement. HMRC is generally more flexible when you get in touch early and can show a realistic payment plan. Interest still applies while you pay in instalments.

Can I Pay Corporation Tax Early?

Yes. You can pay at any time after your accounting period starts, and many companies set money aside monthly so the bill is never a shock. HMRC pays a small amount of interest on corporation tax paid early, although at a rate well below late payment interest. If you overpay, HMRC refunds the excess once your CT600 has been processed, or you can ask for it to be set against another tax liability.

How to Check HMRC Has Received Your Payment

Payments normally show in your company’s HMRC business tax account within a few working days. If a payment does not appear, or appears against the wrong accounting period, contact HMRC with your bank statement showing the date, amount and reference. It is much easier to fix quickly than months later, after interest has started to build up.

Frequently Asked Questions

Does HMRC send a corporation tax bill?

No. Your company is responsible for calculating the tax and paying it by the deadline. HMRC may send reminders, but there is no bill to wait for.

Is the corporation tax deadline 9 months or 12 months?

Both. Payment is due 9 months and 1 day after the end of the accounting period; the CT600 return is due 12 months after. Many companies file and pay at the same time, before the 9-month deadline.

Do dormant companies pay corporation tax?

No. A dormant company with no taxable income has nothing to pay. If HMRC has sent a notice to file, you should still respond or tell HMRC the company is dormant.

Can I pay corporation tax in instalments?

Only large companies are required to pay in quarterly instalments. Smaller companies that cannot pay on time can ask HMRC for a Time to Pay arrangement, or can choose to pay in advance throughout the year.

Get Your Corporation Tax Right First Time

Most corporation tax problems we see come from three things: missing the 9-month payment deadline because the accounts were not ready, using the wrong payment reference, and not claiming every allowable deduction. Our corporation tax service prepares your accounts and CT600, tells you exactly how much to pay and when, and gives you the correct reference for each period. For ways to reduce the bill before it is due, read our guide on how to reduce corporation tax legally, or get in touch for a free consultation.