UK HMRC Policy Paper on Interest Rate Increase for Unpaid Tax Liabilities

UK HMRC has issued a policy paper on the upcoming increase in the late payment interest rate charged on unpaid tax liabilities by 1.5 percentage points. This increase will apply from 6 April 2025 to any outstanding and future amounts from that date.

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Changing late payment interest rates on unpaid tax liabilities

Who is likely to be affected

Taxpayers who do not pay their tax at the required time will incur higher interest charges.

General description of the measure

The government…