Businesses that deferred VAT payments last year have one month left to join online to pay in monthly instalments under the VAT Deferral New Payment Scheme, HM Revenue and Customs (HMRC) has said.
The online portal for the new payment scheme closes on June 21, 2021.
Jim Harra, HMRC’s Chief Executive, said:
“Businesses in the South West that deferred paying their VAT last spring have until June 21 to join the VAT Deferral New Payment Scheme online. They should act now to avoid missing out on this opportunity to spread payment of their deferred VAT across monthly, interest-free, instalments.
“The new payment scheme is part of the Government package of support worth over £350 billion to help protect millions of jobs and businesses during the pandemic and as we emerge on the path to recovery.
“HMRC will continue to do all we can to help businesses as they reopen and rebuild.”
The March, April and May joining dates have passed, but businesses can still spread their payments across up to eight equal monthly instalments, interest-free, if they join by June 21, 2021. Payments can easily be set up via the VAT Deferral New Payment Scheme portal.
Businesses may be charged a 5 per cent penalty and/or interest if they don’t join up to the scheme online by June 21, or pay in full by June 30, or contact HMRC to make an arrangement to pay by June 30, 2021. Businesses should also contact HMRC by June 30, 2021 if they need to agree extra help to pay.