Payment processing and accounting: payment methods: CHAPS
CHAPS transfers money electronically from one bank account to another on the same day, as long as the payment is initiated within the time specified by the customer’s bank (usually between 9:00am and 3:00pm).
The customer will need to provide their bank with HMRC’s bank account details and their reference number. Customers can find out which bank account details they need to use in the Paying HMRC guidance (GOV.UK).
This method is usually more expensive than other payment methods but may be of benefit if the customer is making very large payments.
More information about this service can be found in the Paying HMRC instructions on the GOV.UK website.
Processing CHAPS payments can be time consuming. To help ensure customers provide full payment details, CHAPS templates have been added to the PAYE, Corporation Tax, Stamp Duty Land Tax (SDLT) and VAT ‘Paying HMRC’ guides on the GOV.UK website. Customers who wish to pay by CHAPS can complete a template on screen, print it and then use it to instruct their bank to make a CHAPS payment. The template ensures the customer provides their bank with the correct HMRC bank account details and a valid reference number.
Please bring it to the attention of any PAYE, Corporation Tax, SDLT or VAT customer who asks for advice about paying by CHAPS.
(This content has been withheld because of exemptions in the Freedom of Information Act 2000) Direct Taxes Electronic Payments: CHAPS(This content has been withheld because of exemptions in the Freedom of Information Act 2000)