How to Pay Corporation Tax
Free & Accurate HMRC Guide 2025/26
Knowing how to pay corporation tax is essential for every UK limited company director. It is not complicated — but the details matter: using the wrong payment reference, paying into the wrong account, or missing the deadline can all cause problems with HMRC. This guide explains exactly how to pay corporation tax to HMRC in 2025/26, step by step.
How to Pay Corporation Tax — Key Facts
Before the full guide, here are the essential facts about how to pay corporation tax:
- How to pay corporation tax (deadline): 9 months and 1 day after your accounting year end
- How to pay corporation tax (reference): Your 17-character corporation tax payment reference
- How to pay corporation tax (method): Online banking, CHAPS, Bacs, or debit card
- How to pay corporation tax (HMRC account): HMRC’s CUMBERNAULD bank account via Faster Payments
- How to pay corporation tax (credit card): Not accepted — HMRC no longer accepts credit cards
This guide covers every step of how to pay corporation tax including finding your payment reference, choosing the right payment method, and what to do if you cannot pay on time.
What this guide covers
How to find your corporation tax payment reference · HMRC bank details for corporation tax · All accepted payment methods · Payment deadlines for 2025/26 · What happens if you pay late · How to pay if you cannot afford the full amount
Step 1 — Know Your Corporation Tax Payment Deadline
Before you can pay corporation tax, you need to know exactly when it is due. The deadline is 9 months and 1 day after the end of your company’s accounting period.
| Accounting Year End | Corporation Tax Payment Due | CT600 Filing Due |
|---|---|---|
| 31 March 2025 | 1 January 2026 | 31 March 2026 |
| 30 June 2025 | 1 April 2026 | 30 June 2026 |
| 30 September 2025 | 1 July 2026 | 30 September 2026 |
| 31 December 2025 | 1 October 2026 | 31 December 2026 |
⚠ Pay before the deadline — not on it
HMRC requires the payment to have cleared into their account by the deadline — not just sent. Always allow 1–3 working days for Bacs payments, and pay via Faster Payments or CHAPS if you are close to the deadline.
Step 2 — Find Your Corporation Tax Payment Reference
To pay corporation tax you need your 17-character corporation tax payment reference. This is different from your company’s Unique Taxpayer Reference (UTR). The payment reference consists of:
- Your 10-digit UTR
- The letter A
- Your 6-digit accounting period identifier (YYYYMM format)
For example, if your UTR is 1234567890 and your accounting period ended March 2025, your payment reference would be: 1234567890A202503
Where to find your payment reference
- On your HMRC online account (Corporation Tax section)
- On your CT603 notice to file (sent by HMRC each year)
- On any HMRC correspondence about your corporation tax
- Your accountant will have this if they manage your CT account
✅ Using the wrong reference is a common mistake
If you pay without the correct 17-character reference, HMRC cannot automatically allocate the payment to your account. The money will still reach HMRC but you may need to contact them to have it applied correctly — causing delays and potential interest charges.
Step 3 — Choose Your Payment Method
HMRC accepts several payment methods for corporation tax. The fastest and most reliable is online banking via Faster Payments.
Online Banking / Faster Payments (recommended)
Use your business bank account to make a payment to HMRC. Use the following HMRC bank details:
| Detail | HMRC Corporation Tax Account |
|---|---|
| Sort code | 08-32-10 |
| Account number | 12001039 |
| Account name | HMRC CUMBERNAULD |
| Reference | Your 17-character payment reference |
| Processing time | Same day or next working day |
⚠ Always verify HMRC bank details on GOV.UK
Bank details can be subject to fraud attempts. Always verify these details directly on the HMRC website before making payment. Visit gov.uk/pay-corporation-tax for the authoritative source.
CHAPS
Use the same HMRC bank details as above. CHAPS payments arrive the same day if made before your bank’s cut-off time (usually 2–3pm). CHAPS typically incurs a fee from your bank.
Bacs
Use the same HMRC bank details. Allow 3 working days for Bacs payments to clear. Do not use Bacs if you are within 3 working days of the deadline.
Debit Card (via HMRC website)
You can pay corporation tax using a business debit card through the HMRC payment portal. Log in to your HMRC online account, navigate to Corporation Tax, and select the payment option. Credit cards are no longer accepted.
Direct Debit
HMRC offers a Direct Debit option for corporation tax, but this requires setting up in advance through your HMRC online account. The Direct Debit collects the payment on the due date automatically.
Calculate Your Corporation Tax Bill First
Use our free corporation tax calculator to see exactly how much you owe before making your payment to HMRC.
Calculate Corporation Tax → →Step 4 — What to Do If You Cannot Pay on Time
If your company cannot pay its corporation tax bill in full by the deadline, contact HMRC as soon as possible — ideally before the deadline, not after. HMRC’s Business Payment Support Service can arrange a Time to Pay agreement, spreading your corporation tax bill over an agreed period.
Time to Pay — key facts
- Available for companies that cannot pay due to genuine financial difficulty
- Typically allows payment over 3–12 months
- Interest still accrues on the outstanding amount
- Prevents further surcharges if arranged before the deadline
- Contact HMRC’s Business Payment Support Service: 0300 200 3835
What Happens If You Pay Corporation Tax Late?
HMRC charges interest on late corporation tax payments from the day after the deadline. The current interest rate is the Bank of England base rate plus 2.5%. There are no fixed penalty surcharges for late payment of corporation tax itself (unlike VAT or PAYE) — but persistent late payment can trigger an HMRC enquiry.
| Situation | Consequence |
|---|---|
| Payment 1 day late | Interest starts accruing immediately |
| CT600 1 day late filing | Automatic £100 penalty |
| CT600 3 months late | Additional £100 penalty |
| CT600 6 months late | 10% of unpaid corporation tax |
| CT600 12 months late | Further 10% of unpaid corporation tax |
How Much Corporation Tax Do You Owe?
If you are not sure how much corporation tax to pay, use our free corporation tax calculator to calculate your bill instantly using current 2025/26 HMRC rates. For profits between £50,000 and £250,000, our marginal relief calculator shows your exact effective rate after relief is applied.
Final Thoughts
Knowing how to pay corporation tax correctly — with the right reference, to the right HMRC account, before the deadline — is straightforward once you have done it once. The key steps are: find your 17-character payment reference, use Faster Payments to HMRC’s Cumbernauld account, and always pay before the deadline to avoid interest.
Use our free corporation tax calculator to calculate your bill before paying. For full HMRC guidance on paying corporation tax, visit gov.uk/pay-corporation-tax.