Paying deferred VAT due to Coronavirus

HMRC have now announced a new VAT deferral payment scheme for those who deferred VAT payments between 20 March and 30 June 2020.

If you still have VAT left to pay, you can:

  • Pay in full by 31 March 2021
  • Opt in to the new payment scheme when it comes into force in early 2021
  • Speak to HMRC if you need more help

What is the new payment scheme?

The new scheme allows the VAT to be paid in monthly instalments over several months, up to 11. This is how interest free.

Who is eligible?

You must fit the following:

  • Still have outstanding deferred VAT to pay due to Coronavirus
  • Be up to date with VAT returns
  • Pay the deferred VAT instalments by Direct Debit

Further info from HMRC can be found here.