HM Revenue and Customs (HMRC) has launched a trial which ends Corporation Tax reminder letters being sent to businesses.

Initiated earlier this month, this pilot scheme forms part of HMRC’s broader effort to modernise and streamline its services.

With the pilot expected to run until December 2025, and other Corporation Tax letters no longer being issued, it is crucial that businesses are aware of their tax deadlines, can adapt to the new process, and are comfortable managing their tax obligations online.

The newest trial encourages companies to handle their tax responsibilities digitally, with HMRC setting a target to reduce the number of letters sent out by 70 per cent.

Currently, the trial involves a limited number of businesses that are represented by agents, though there are intentions to broaden the scheme to include more firms, including those without representation.

What does the new trial involve?

Following the halt of several Corporation Tax letters last month, the current trial is centred on the CT208/A letters—those that serve as payment reminders.

Running through to December 2025, companies involved in this phase will no longer receive physical payment reminders. Instead, they must rely on online services to keep track of when Corporation Tax payments are due.

HMRC will be closely monitoring the trial, stating they will not hesitate to end it early should it present significant challenges or negatively affect customers.

Have HMRC announced other letter changes?

In June 2025, ahead of the trial’s launch, HMRC confirmed it had ceased sending several Corporation Tax letters to businesses.

These included forms CT205/A, CT207, CT209, CT603A, and CT608. In essence, this means businesses will no longer receive return reminders, interest statements, payment receipts, agent-issued notice summaries, or instalment payment notifications.

HMRC has emphasised that this move supports its ongoing commitment to improve services through digitalisation.

While the move supports the government’s digital transformation goals, it places emphasis on businesses to remain informed about deadlines and put systems in place to avoid late payments and any resulting interest.

How will this trial and HMRC’s new direction affect my business?

This initiative is part of HMRC’s larger digital transformation strategy aimed at improving services for individuals and small businesses, making them more accessible and user-friendly.

As seen with the introduction of a new PAYE system benefiting over 35 million taxpayers in the UK, these recent changes to Corporation Tax are specifically designed to encourage businesses to complete their tax returns online.

With reminder letters being phased out, businesses must ensure they are fully aware of their tax deadlines and know where to access essential documents like statements and receipts.

Currently, the interest rate stands at 8.25 per cent, and any late payments could see you given an additional charge.

It is now your responsibility to make sure you can retrieve all necessary information and remain on top of your deadlines, missing them can result in serious financial consequences.

How can I prepare for these changes?

If you’re uncertain about what these recent HMRC updates mean for your business or have any concerns regarding Corporation Tax, it’s advisable to speak with financial professionals who can offer expert guidance.

Corporation Tax can be complex, but our team is here to help—whether it’s explaining recent changes, clarifying deadlines, or preparing your business for future tax developments.

Reach out to our team for reliable advice and support on the latest HMRC initiatives and all matters related to Corporation Tax.