As HMRC’s late payment and repayment interest rates are linked to the base rate, they are also set to increase.

 

From 14 November 2022 the following rates will apply:

• Late corporation tax paid quarterly – 4%
• Interest on overpaid corporation tax instalments – 2.75%

From 22 November, the rates for other taxes will apply:

• Late payment interest – 5.5%
• Interest on overpaid tax – 2%

If your 2021/22 tax return is outstanding you should calculate your tax liability as soon as possible to ensure you can meet the payment deadline, to avoid (or minimise) interest charges.