Revised VAT payment deadline due to COVID-19

The VAT period expired on June 30 2020, and as far as current liabilities are concerned, this is business as usual. It was first announced that any VAT payments deferred between March 20 2020, and June 30 2020, would have to be paid on or before March 31, 2021. The Winter Economy Plan changed the terms, allowing extra time for payments.

The VAT instalment ‘new payment scheme’ allows payment in 12 equal interest instalments from 12 months to March 31 2022. Businesses should choose to do so, and HMRC will provide a way to do so by early August 20-20. : //bit.ly/3jcLmml If businesses wish, they can still pay in full at any time by March 31, 3121, or pay for deferred VAT.