What happens if you do not pay your tax bill? HMRC explains its debt enforcement

HM Revenue & Customs (HMRC) has set out in official GOV.UK guidance what happens when a taxpayer does not settle what they owe. The page was last updated on 4 September 2026 (a change to the list of debt collection agencies).

Conversation first

HMRC says that if someone cannot pay on time, it wants to find a way for them to pay as quickly as possible and in an affordable way. Except where fraud or criminal activity is suspected, it first tries to make contact and agree a way forward. It may propose a Time to Pay instalment arrangement, use overpaid tax to clear other debts, or adjust the tax code of someone paid through PAYE. Collecting through a tax code can take up to 50% of gross income.

People living in the UK who have trouble paying should contact the Payment Support Service. People living permanently abroad have a separate helpline for non-UK residents.

Visits and debt collection agencies

If a taxpayer does not respond or refuses to pay, HMRC may visit them at home or at their business address, or pass the case to a debt collection agency. The agencies are regulated by the Financial Conduct Authority and contact people only by letter, text message or phone; they never visit. Consent for someone to speak on a person's behalf lasts 24 hours; for longer, form 64-8 is needed.

Enforcement powers

HMRC says these are a last resort and that they differ between England, Scotland and Wales. It lists, among others:

• seizing and selling goods: in England and Wales this is preceded by a formal notice of enforcement costing £75, and fees are £235 plus 7.5% of the part of the debt above £1,500; for goods removed and sold at auction there is a £110 fee plus 7.5% of the part of the debt above £1,500;
• taking money directly from bank accounts in England, Wales and Northern Ireland, where the debt is £1,000 or more and the accounts hold enough to cover it and reasonable living costs;
• court orders: charging orders (for example over property), attachment of earnings, and third party debt orders;
• in Scotland, a summary warrant, after which the debtor has 14 days to pay or agree an instalment plan.

HMRC says it will not make anyone sell their main home to fund a loan charge or disguised remuneration tax bill, and will not ask people to draw on pension pots. Insolvency is a final step.

What this means for Poles in the UK

HMRC has recovery agreements with more than 87 countries. If someone does not engage with the department, it can ask a foreign tax authority to collect a debt from a person who lives there or has assets there. That includes people who have left the UK, including for Poland.

HMRC advises replying to correspondence as soon as possible so it is clear the taxpayer is not refusing to pay. Free debt advice is available from MoneyHelper. The identity of an HMRC collector can be checked on GOV.UK.