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Help understanding tax return

3 replies

Jamietea · 10/11/2025 21:19

It's my first time completing my self assessment. Did that fine back in August. It said I owed £10 tax (not the real amount) so I transferred that amount into my HMRC account. I thought that meant I had paid it?? But I've just gone onto my HMRC app and it says the following:
You have nothing to pay £0.00
You are in credit by £10
This will pay your tax bill of £10 on 31st January
But then it also says: there is a balancing payment of £10 for 2024-2025 due by 31st January and that I still owe tax.

But how do I pay it and where? Is it automatic? I'm so confused!

OP posts:
Comefromaway · 10/11/2025 21:24

The £10 is what you owe for the self assessment you completed. Payment is due 31 Jan so that is when it will be taken from your account.

However every year you have to pay half of what HMRC think you will owe for next years self assesmeht up front or on account. This catches lots of people out. (It caught me out). You make this payment also on 31st Jan, then another payment on 31st July.

Jamietea · 10/11/2025 21:59

@Comefromaway so will the payment be taken automatically on the 31st Jan and I don't need to do anything?
Also, I don't think I owe any payments on account as I only owe a small amount of tax. I can't see anything about payments on account.

OP posts:
spannasaurus · 10/11/2025 22:16

It means that you've paid £10 but they haven't allocated it against the tax payable by 31 Jan 26 instead it's sitting as an unallocated credit on your account. They will allocate it on the due date or perhaps before.

You don't need to make any payments on account if the tax payable is less than £1000

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