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Posted Sat, 19 Nov 2022 19:47:23 GMT by L N
I complete a self-assessment for my mother with Power of Attorney. I have completed and submitted the year 2021-2022 and it has calculated a very large capital gains tax bill around £70k. The deadline for payment is January 31 2023. She is already registered to pay tax by direct debit from her bank account (which I also manage via PoA). Will it be possible to pay such a large amount by Direct Debit, And what date will the payment be taken?
Posted Tue, 22 Nov 2022 14:13:02 GMT by HMRC Admin 32

HMRC does not have a maximum limit, when it comes to paying tax liabilty. You will have until 31 January 2023 to make the payment due.

It is up to you if you want to make one large payment or several smaller payments.  

You can find further guidance here:

Pay your Self Assessment tax bill

Thank you.
Posted Tue, 22 Nov 2022 16:28:39 GMT by L N
I see OK so I actually initiate a Direct Debit when I want to? It's not that HMRC takes the payment out of the account on a specific date?
Posted Thu, 24 Nov 2022 12:37:21 GMT by HMRC Admin 32

That is correct. You may also want to check with your bank for such a large payment under this method.

Thank you.
Posted Thu, 24 Nov 2022 13:11:42 GMT by L N
Thank-you. One last question is if I want to pay by Internet banking bank transfer, can I do this by transferring chunks of £20k (which is the daily limit allowed on the account) each day, over a period of 4 days?
Posted Fri, 25 Nov 2022 15:57:50 GMT by HMRC Admin 2

You can make the total payment with as many smaller payments as you like, so long as the payments are received on time.  

Late payments may attract penalties and interest.

Thank you.

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