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UNCODE.initHeader(); Missed your 7 May provisional tax payment? How to clear penalties and interest

7 May has passed. If your provisional tax payment didn’t go through, or you underpaid, Inland Revenue late payment penalties and use of money interest started building the very next day.

The good news is that you still have time to fix it. But the window is shorter than most people realise. What Inland Revenue charges when you miss a provisional tax payment

Missing a provisional tax due date triggers costs in stages:

- A 1% late payment penalty the day after the due date
- An additional 4% penalty seven days later
- Use of money interest (UOMI) at 8.97% per annum (as at 16 January 2026), calculated daily until the balance is cleared

These charges apply whether you missed the payment entirely or simply didn’t pay enough. And paying Inland Revenue directly after the fact won’t remove the penalties. It only stops them growing.

There is a way to clear them altoget...