Log in to Your HMRC Business Tax Account
- Go to the HMRC login page
- Enter your Government Gateway ID and password to access your business tax account. If you don’t have a Government Gateway account or are logging in for the first time, you’ll need to register for one.
- For businesses, you should already have a business tax account with HMRC to manage PAYE and other taxes.
If you don’t have a business tax account yet, you’ll need to register your business with HMRC before setting up payments. You can register your business for PAYE and other taxes via the HMRC website.
Navigate to PAYE for Employers Section
- After logging into your business tax account, you’ll be on the HMRC dashboard. Look for the section called ‘PAYE for Employers’.
- If you don’t see this section on your dashboard, it means that PAYE for Employers isn’t currently added to your account.
- To add it, click on ‘Add a service’ (found in the ‘Your Services’ section) and select ‘PAYE for Employers’. Follow the prompts to add this service to your account.
Look for ‘Your Upcoming Payments’
- In the ‘PAYE for Employers’ section, find ‘Your Upcoming Payments’.
- This section will show you a list of the PAYE payments that are due, along with their due dates. If you’re also liable for CIS, it will be included here as part of the payment due.
Under ‘Your Upcoming Payments’, Select ‘Set Up Direct Debit’
- Under the ‘Your Upcoming Payments’ section, you will see an option to ‘Set up Direct Debit’.
- Click on ‘Set up Direct Debit’ to start the process for setting up your Direct Debit to cover both PAYE and CIS.
Select Which Bank Account to Pay From
- At this stage, you will be asked to select the bank account from which HMRC will collect the payments.
- For companies, you should choose your business bank account, as that is where your PAYE and CIS payments will be made from.
- Enter the bank sort code and account number for the chosen bank account.
- Ensure that the selected account has sufficient funds to cover both PAYE and CIS payments.
Review the Payment Details
- Double-check all the payment details to ensure everything is correct before proceeding.
Agree to Terms and Conditions
- HMRC will present the terms and conditions for setting up the Direct Debit.
- Carefully read the terms and agree to them to continue the process.
Confirm and Submit
- After reviewing the information and agreeing to the terms, click ‘Confirm and Submit’ to complete the setup.
- HMRC will process your request, and once the Direct Debit is successfully set up, you will receive confirmation from HMRC.
Ensure Sufficient Funds
- Ensure that there are sufficient funds in the selected bank account to cover both PAYE and CIS payments to avoid any missed payments or penalties.
Payment Dates
HMRC will usually take the payment shortly after the 22nd of the month
If you pay quarterly, you should continue to submit a monthly return. HMRC will collect the total payment every 3 months.
HMRC will tell you the date and amount no later than 3 working days before the payment is collected. The payments will show on your bank statement as ‘HMRC SDDS’.
Important Note:
- CIS Payments: If you’re a contractor, your CIS payments are collected as part of the PAYE payment schedule. Therefore, you only need to set up one Direct Debit to cover both your PAYE and CIS obligations.
