You are here: Home - News -

HMRC bans personal credit card use for Stamp Duty payments

  • 02/01/2018
  • 0
HMRC bans personal credit card use for Stamp Duty payments
From 13 January, HM Revenue and Customs will no longer accept personal credit card payments for a raft of taxes, including Stamp Duty.

The European Payment Services Directive 2 (PSD2) hits the statute books this month and the legislation means retailers cannot charge customers fees for payments made by credit card.

An HMRC spokesperson said the new rules won’t allow HMRC to pass on credit card charges as it did before, which meant £3.2m was paid in fees by customers in the 2016/17 tax year.

A spokesman said: It would be unfair to expect other taxpayers to pick up this cost. There are a range of ways for people to pay us depending on the type of tax being paid, including debit cards, direct debit, Faster Payment and BACS.”

HMRC said personal credit cards only account for 0.8% of payments to HMRC by volume and 0.2% by value. In 2016-17 this equated to roughly 400,000 payments.

The ban will affect self-assessment, employers PAYE and National Insurance, VAT, Corporation Tax, Stamp Duty Land Tax, Income Tax and any miscellaneous payments.

Figures obtained by Mortgage Solutions’ sister title revealed that in the 2016/17 tax year, 454,000 credit card payments were made, totalling £741m.

Corporate, business and commercial cards are not affected by this change and HMRC continues to accept personal debit cards. Other payment methods available include Direct Debit, Faster Payment, BACS, debit cards and CHAPS.

HMRC said it will continue to accept personal debit card payments and for anyone struggling to pay, they should contact it directly.

For more see the HMRC website.


There are 0 Comment(s)

You may also be interested in

Business Skills

In this section, we offer short ‘how to’ guides on harder to crack areas of business. From social media, to regulation or niche product areas, we cover it all.


Our journalists interview key industry entrepreneurs, strategists and commentators for day-to-day market insight and a strategic view of where the industry is heading. We offer lessons for success and explore the opportunities for your business

Success in Practice

Here, we share case studies fleshing out best practice to help you decide what could work for your business. Take a look at how others approached complex tasks like launching a new mortgage lender, advising on a new product area or deciding to specialise in another. Learn from others mistakes and triumphs.


Each week, we ask top mortgage and property commentators with a unique perspective to examine a key news headline, market move or regulatory or political issue.


Vote in our weekly poll here. It’s your chance to tell us what you think and be heard on the top news stories of the week. Review our archive to find out what your industry really thinks and all our coverage of the results.

Top Comments

Be part of the conversation on Mortgage Solutions. We want to hear from you. We have a tool called Disqus to tell us which stories get the most comments each week. Every Friday, the team picks the most thoughtful or opinionated contributions from our readers to enjoy again. Don’t forget to share your favourite stories from the site on social media to keep the conversation going.
Read previous post:
A semi detached home
UK towns with biggest house price rises revealed

Cheltenham house prices reaped the largest growth over the last year out of all towns in Britain, analysis has shown.