Time is Running Out to Join the VAT Deferral New Payment Scheme
The VAT deferral new payment scheme is open to all businesses that deferred paying VAT due between 20 March 2020 and 30 June 2020 and were unable to pay in full by 31 March 2021. Please see our earlier blog for full details of the scheme.
https://jsca.co.uk/vat-deferral-new-payment-scheme/
The last day a business can join this scheme is 21 June 2021. If a business joins by this date they can apply to spread their payments over eight instalments.
If a business has deferred paying VAT and has not yet joined the VAT deferral new payment scheme, they may be charged a 5% penalty and/or interest if they do not join online by the deadline of 21 June 2021 or pay in full by 30 June 2021.
It is simple for a business to sign up to the scheme online and there is no need to phone HMRC.
HMRC have advised that is if a business is still unable to pay and needs more time, they should contact them to make an alternative arrangement by 30 June 2021.
https://www.gov.uk/difficulties-paying-hmrc
The information in this blog provides only an overview of HMRC guidance and legislation in force at the date of publication and no action should be taken without consulting the detailed HMRC guidance and legislation or seeking professional advice. Therefore no responsibility for loss occasioned by any person acting or refraining from action as a result of the material contained in this blog can be accepted by the firm.
Photo by Paula Guerreiro on Unsplash
