Introduction
- HMRC have announced that from 13 January 2018 they will be unable to take payment for tax via personal credit card.
- The Second Payment Services Directive (PSD2), outlines that there could be no onward charging consumers for credit or debit cards.
- This includes HMRC who have said that they cannot absorb the costs of the merchant providers for credit card facilities and therefore no payments will be taken by personal credit card.
- Under current rules, taxpayers can pay with a personal credit cards using their HM Revenue & Customs (HMRC) online account or, if you receive paper statements, with a paying-in slip.
How will this Affect Taxpayers?
- The timing of this is likely to cause some concern for tax payers in January and Avar advise that clients looking to pay their tax liability by credit card should complete and file their tax return and pay any liability due before 13 January 2018.
- For further guidance, please contact the Avar Team.