Covid-19 - VAT Deferment
The Government announcements on VAT deferment means that VAT payments can be deferred for 3 months.
This will apply from 20 March 2020 until 30 June 2020 and all VAT registered UK businesses will be eligible.
There is no need to apply or register for the scheme as this will be automatic.
The business will not be required to make any VAT payments during this period and each business will then be given until 5 April 2021 to pay any liabilities that have accumulated during the deferment period.
If you are paying your VAT liability via direct debit arrangements, then you must contact your bank to get this postponed. Payments will be collected as normal if you do not take steps in this regard.
Businesses who pay the VAT outside the direct debit arrangement can simply defer the payment to a later date.
Any VAT refunds or repayments will be repaid to each business as normal.
If you have any questions please do get in touch with your usual Honey Barrett contact.