HMRC tax loan: paying corporation tax, PAYE or VAT
Funding to pay an HMRC bill (corporation tax, PAYE, VAT, NIC) when the cashflow timing does not work. UK SMB lenders fund these as standard term loans tied to a tax-bill use of proceeds.
Who needs this
Businesses with a tax bill due imminently and a cashflow gap. Avoiding HMRC late-payment interest and surcharges (which run materially above commercial lending rates).
Products that fit
- Term loans for corporation tax (3-12 months typical)
- VAT-specific funding
- Flexi-loans for PAYE timing
Top UK lenders
- iwoca
- Fleximize
- Specialist HMRC-aware funders
Watch outs
- HMRC Time to Pay is materially cheaper than commercial lending if you qualify; explore that first.
- Once HMRC has issued a payment notice, terms with new lenders may tighten, apply ahead of the deadline.
Alternatives worth considering
- HMRC Time to Pay (apply via gov.uk)
- Existing facility drawdown
- Director loan to the company (with proper documentation)
Apply
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Open our /get-quotes/ form →Last reviewed: 2026-04-26.