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  • FIRST POST
    • sterling30
    • By sterling30 13th Jan 19, 9:06 PM
    • 14Posts
    • 0Thanks
    sterling30
    Not Allowed To Pay Tax Liabilities With Credit Card
    • #1
    • 13th Jan 19, 9:06 PM
    Not Allowed To Pay Tax Liabilities With Credit Card 13th Jan 19 at 9:06 PM
    (I didn't know what forum category to place this so I trust it will be moved accordingly if necessary).


    I own a limited company, started in 2004. I owe HMRC a portion of the companies tax liabilities from the 2016-2017 tax year and have recently had the 2017-2018 tax liabilities calculated, payment which is due by 31st of this month.



    For various reasons I cannot afford to pay the combined total.



    I had a plan to pay the sum due by credit card and then organise a 0% balance transfer onto another credit card, to slowly pay off without paying any interest. (I have successfully worked previous debts this way - moving to another 0% transfer card each time the previous 0% term ends).


    Unfortunately my accountant has confirmed that the HMRC do not allow payment by credit card. This has rather stuffed up my plans and I'm now not sure what to do.


    Is there some kind of clever way around this so that the money can end up on the credit card which can then be moved to a 0% deal? For example, is it possible to move a 'debit card' balance onto a 0% credit card deal?


    I really need to consider all my options and come to a decision by the end of this coming week.


    I understand the options are always there to take out a loan or re-mortgage, but I don't really want to do either. I also don't want to file for bankcruptcy!



    Thanks for any advice.
Page 1
    • BoGoF
    • By BoGoF 13th Jan 19, 9:09 PM
    • 3,982 Posts
    • 3,447 Thanks
    BoGoF
    • #2
    • 13th Jan 19, 9:09 PM
    • #2
    • 13th Jan 19, 9:09 PM
    Do you have a business credit card?
    • zx81
    • By zx81 13th Jan 19, 9:09 PM
    • 21,144 Posts
    • 22,818 Thanks
    zx81
    • #3
    • 13th Jan 19, 9:09 PM
    • #3
    • 13th Jan 19, 9:09 PM
    A money transfer card would be the obvious solution.

    If you can't get one, then putting all your spending on a purchases card and save your cash to pay the bill.
    • jtgaoler
    • By jtgaoler 13th Jan 19, 9:18 PM
    • 30 Posts
    • 11 Thanks
    jtgaoler
    • #4
    • 13th Jan 19, 9:18 PM
    • #4
    • 13th Jan 19, 9:18 PM
    I regularly pay my tax on a credit card using the Curve card.
    Some credit cards still treat this as a cash withdrawal though, such as Tesco bank.
    • jtgaoler
    • By jtgaoler 13th Jan 19, 9:19 PM
    • 30 Posts
    • 11 Thanks
    jtgaoler
    • #5
    • 13th Jan 19, 9:19 PM
    • #5
    • 13th Jan 19, 9:19 PM
    See here:

    https://support.imaginecurve.com/hc/en-gb/articles/360000166549-Can-I-use-my-Curve-card-on-gov-uk-sites-such-as-HMRC-
    • sterling30
    • By sterling30 14th Jan 19, 1:10 AM
    • 14 Posts
    • 0 Thanks
    sterling30
    • #6
    • 14th Jan 19, 1:10 AM
    • #6
    • 14th Jan 19, 1:10 AM
    Do you have a business credit card?
    Originally posted by BoGoF

    No I do not have a business credit card.
    • sterling30
    • By sterling30 14th Jan 19, 1:13 AM
    • 14 Posts
    • 0 Thanks
    sterling30
    • #7
    • 14th Jan 19, 1:13 AM
    • #7
    • 14th Jan 19, 1:13 AM
    No I do not have a business credit card.
    Originally posted by sterling30

    But it says "The Curve card is a Mastercard® Debit card..." How can this be a credit card?
    • maxximus75
    • By maxximus75 14th Jan 19, 1:26 AM
    • 207 Posts
    • 75 Thanks
    maxximus75
    • #8
    • 14th Jan 19, 1:26 AM
    • #8
    • 14th Jan 19, 1:26 AM
    You link your credit card to your curve card and then pay via the curve card.


    This then makes what hopefully is classed as a purchase to your credit card for the same amount.
    • john1002
    • By john1002 14th Jan 19, 8:54 AM
    • 950 Posts
    • 389 Thanks
    john1002
    • #9
    • 14th Jan 19, 8:54 AM
    • #9
    • 14th Jan 19, 8:54 AM
    It might be worthwhile if your going down the curve route to let us know which credit card you are going to link as that way we can confirm no additional fees etc also the value as curve does have limits.

    John
    Last edited by john1002; 14-01-2019 at 8:55 AM. Reason: Value
    • BoGoF
    • By BoGoF 14th Jan 19, 10:24 AM
    • 3,982 Posts
    • 3,447 Thanks
    BoGoF
    No I do not have a business credit card.
    Originally posted by sterling30
    The reason I ask is that HMRC still accept corporate credit cards on which a fee can still be charged.
    • chattychappy
    • By chattychappy 14th Jan 19, 10:45 AM
    • 7,065 Posts
    • 3,908 Thanks
    chattychappy
    Depending how late you will be, it may be worth paying interest to the HMRC rather than MT fees etc on a CC.
    Last edited by chattychappy; 14-01-2019 at 9:41 PM. Reason: wrote tax instead of interest
    • Penelopa.Pitstop
    • By Penelopa.Pitstop 14th Jan 19, 11:46 AM
    • 424 Posts
    • 155 Thanks
    Penelopa.Pitstop
    It might be too late to get Curve card now and also limits are low at the beginning. Check existing credit card for money transfer offers or consider a loan.

    I don't think you will be able to apply for a new credit card with money transfer and pay before deadline.

    HRMC stopped accepting personal credit cards a year ago.

    • sterling30
    • By sterling30 14th Jan 19, 2:31 PM
    • 14 Posts
    • 0 Thanks
    sterling30
    Thanks for comments thus far.



    I'm not worried about payment deadline. I'm already over a year late for the first payment and interest is fortunately super low, so 31st of this month is of no worry to me.


    The amount is approx £6k.


    I already have a couple of credit cards with high credit limits and both are regularly offering me 0% balance transfer deals.



    Yes, the problem with applying for a new credit card is that one never knows what the limit will be, making it completely pointless in some cases. As this is so crucial it seems farcical to me that this cannot be confirmed during application stage. Anyway...


    I still don't fully understand the Curve card idea but I can look it up. It's linked to a credit card of my choice? So if I pay tax with the curve card then it's like my designated credit card is being used to make the payment? Then I can make a 0% balance transfer to an existing card as per normal. Is that correct?
    Last edited by sterling30; 15-01-2019 at 5:55 PM.
    • zx81
    • By zx81 14th Jan 19, 2:33 PM
    • 21,144 Posts
    • 22,818 Thanks
    zx81
    Yes, the problem with applying for a new credit card is that one never knows what the limit will be, making it completely pointless in some cases. As this is so crucial it seem facical to me that this cannot be confirmed during application stage. Anyway...
    Originally posted by sterling30
    It's because a full search is needed to make the decision.
    • Gary_Dexter
    • By Gary_Dexter 14th Jan 19, 3:15 PM
    • 3,722 Posts
    • 2,278 Thanks
    Gary_Dexter
    I still don't fully understand the Curve card idea but I can look it up. It's linked to a credit card of my choice? So if I pay tax with the curve card then it's like my designated credit card is being used to make the payment? Then I can make a 0% balance transfer to an existing card as per normal. Is that correct?
    Originally posted by sterling30
    Exactly.

    But it depends on how the underlying merchant classes the transaction - a purchase or a cash purchase.
    • Penelopa.Pitstop
    • By Penelopa.Pitstop 14th Jan 19, 3:40 PM
    • 424 Posts
    • 155 Thanks
    Penelopa.Pitstop
    Avoid Tesco as linked card.

    • bmpeers
    • By bmpeers 14th Jan 19, 10:39 PM
    • 2 Posts
    • 1 Thanks
    bmpeers
    curve atm fees
    @john1002

    is there some sort of MSE list of which cards are charging for Curve ATM withdrawals. I got stung by Tesco.. I'm holding Virgin Atlantic, Lloyds Avios, MBNA Horizon in my wallet at the moment..

    Any guidance warmly received.
    Thanks Brian
    • gt94sss2
    • By gt94sss2 14th Jan 19, 11:53 PM
    • 4,220 Posts
    • 1,995 Thanks
    gt94sss2
    is there some sort of MSE list of which cards are charging for Curve ATM withdrawals. I got stung by Tesco.. I'm holding Virgin Atlantic, Lloyds Avios, MBNA Horizon in my wallet at the moment..
    Originally posted by bmpeers
    Have a look at last couple of pages of this thread
    • sterling30
    • By sterling30 15th Jan 19, 6:01 PM
    • 14 Posts
    • 0 Thanks
    sterling30
    My Credit Cards are John Lewis, MBNA, Halifax and Santander. All are currently offering me very long (2 years) 0% balance transfer deals. Not sure about 0% purchase deals - I've never done that.


    Assuming I get a Curve card and assign one of the cards, say Halifax for this example, to the Curve card, and I pay my tax with the Curve card, I'm assuming that Halifax will have seen it as a purchase as if I had paid directly with that card. Would there be any charges by Halifax or Curve for doing this? The idea would be to then do a 0% balance transfer from Halifax to another credit card that is offering a good 0% deal.


    Cheers
    • gt94sss2
    • By gt94sss2 16th Jan 19, 2:51 AM
    • 4,220 Posts
    • 1,995 Thanks
    gt94sss2
    Assuming I get a Curve card and assign one of the cards, say Halifax for this example, to the Curve card, and I pay my tax with the Curve card, I'm assuming that Halifax will have seen it as a purchase as if I had paid directly with that card.
    Originally posted by sterling30
    That's how it basically works.

    Would there be any charges by Halifax or Curve for doing this?
    There should be no charges.
    {Edited by Forum Team}
    Last edited by MSE Tine; 28-01-2019 at 12:56 PM. Reason: {Edited by Forum Team}
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