The VAT payment deferral period, which was introduced as a measure to ease financial pressure on businesses during the COVID-19 pandemic, ends on 30 June 2020. Any liabilities that fall due on or after 1 July 2020 should be paid in full by the due date, unless there is a time to pay arrangement in place.
Businesses will need to consider setting up any cancelled direct debits in enough time for HMRC to take their next VAT payment.
Any deferred VAT payments should be paid in full on or before 31 March 2021. Additional payments can be made with subsequent returns.
If you have any questions, our team of expert Accountants would be happy to assist.
Disclaimer: Content posted is for informational & knowledge sharing purposes only, and is not intended to be a substitute for professional advice related to tax, finance or accounting. Each comment posted by third party readers/subscribers of our website on topics of tax and accounting is their personal opinion and due professional care should be taken by you before you act after reading the contents of that post. No warranty whatsoever is made that any of the posts are accurate and is not intended to provide, and should not be relied on for tax or accounting advice.
Related Posts
A welcome delay to the introduction of the VAT Domestic Reverse Charge
1 min readHMRC have announced a five month delay to the introduction of the VAT Domestic Reverse Charge. The significant changes to how VAT is applied to services in the construction industry will now not come into force until 1 March 2021. The delay will no doubt be a relief for many construction businesses who are already …
HMRC delays the introduction of off-payroll rules to the private sector
3 min readThe reforms will shift the responsibility for assessing employment status to the organisations employing individuals. The rules would have applied to contractors working for medium and large organisations in the private sector, and were due to come into effect on 6 April. Steve Barclay, Chief Secretary to the Treasury, stressed that the introduction of the …
Can you claim vat back on your staff Christmas party?
2 min readWith Christmas fast approaching many Company Directors want to thank and reward their staff for their hard work. For limited companies, there are certain tax benefits on staff annual and Christmas parties and giving gifts to employees. Tax free staff Annual and Christmas parties For any annual event, be it a summer BBQ or Christmas …
