CORONAVIRUS VAT DEFERRAL AND INCOME TAX PAYMENTS
Updated Friday 27 March
For VAT, the deferral will apply from 20 March 2020 until 30 June 2020.
Who is eligible?
All UK businesses are eligible.
How do I access this?
This is an automatic offer with no applications required. Businesses will not need to make a VAT payment during this period. Taxpayers will be given until the end of the 2020 to 2021 tax year to pay any liabilities that have accumulated during the deferral period.
VAT refunds and reclaims will be paid by the government as normal.
Important – Customers who normally pay by direct debit should cancel their direct debit with their bank if they are unable to pay. Please do so in sufficient time so that HMRC do not attempt to automatically collect on receipt of your VAT return.
If you do cancel your direct debit please ensure that you remember to set up a new direct debit with your bank for the proceeding quarters after 30 June 2020.
Income Tax
For Income Tax Self-Assessment, payments due on the 31 July 2020 will be deferred until the 31 January 2021.
If you are self-employed you are eligible. This is an automatic offer with no applications required.
No penalties or interest for late payment will be charged in the deferral period.
HMRC have also scaled up their Time to Pay offer to all firms and individuals who are in temporary financial distress as a result of Covid-19 and have outstanding tax liabilities.
