What happens if you don’t pay your taxes when they become due?
It is crucial to contact HMRC as soon as practicable if a tax debt cannot be paid on time. HMRC are receptive to payments by instalments using a “Time to Pay” arrangement. It might also be possible for a PAYE code to be amended to collect tax.
What you should not do though is demonstrate ostrich like behaviour and bury your head in the sand. HMRC have various powers they can invoke to collect the debts. Bear in mind too that interest and possibly penalties will also be incurred.
HMRC have updated their website – details here.
