Payment processing and accounting: payment methods: Certificates of Tax Deposit (CTD)
Prior to 23 November 2017, the Certificate of Tax Deposit (CTD) scheme enabled customers to make payments which are held as deposits against future tax liabilities. Generally speaking, interest is paid on the deposit until it is surrendered against one of the liabilities listed in the CTD guide on the HMRC website, or repaid.
As of 23 November 2017 the CTD scheme has been closed for new purchases, but existing certificates will continue to be honored until 23 November 2023. Any certificates remaining after this date should be promptly submitted to HMRC for a refund. Thereafter HMRC will seek to repay the balance of any certificate which remains unpaid and unclaimed. However, if it cannot do so (for example, because it is unable to contact the current certificate holder after reasonable effort) it will regard the balance as forfeited.
Details on the processing of CTDs can be found at DMBM201100.
Full details of the scheme are contained in the Prospectus which is available from the HMRC website.