HMRC have announced additional details of arrangements for further deferring the VAT that was originally due for payment between 20 March and 30 June 2020.
The deferred VAT was originally due to be paid on or before 31 March 2021 but businesses that opt into the VAT Deferral New Payment Scheme can pay the outstanding amounts by direct debit over a period up to 11 months.
To avoid interest and penalties being imposed businesses must either:
You must use the online service yourself through the Government Gateway account (we will not be able to do this for you) and you should not have any outstanding VAT Returns for the last four years.
Businesses making VAT payments on account or using the annual accounting scheme will need to wait to be invited to use the scheme which is expected later in March 2021.
If you are unable to make payment by 31 March 2021 or join the VAT Deferral New Payment Scheme then you should contact HMRC on 0800 0241222 to discuss making alternative arrangements.
We are here to help, so if you have any queries or wish to discuss the above then please contact us.