VAT Deferral Scheme
The Chancellor Rishi Sunak recently set out measures to support businesses during the coronavirus outbreak. As part of these measures he announced a 3 month deferral on VAT payments due to HMRC. The deferral will apply to payments due from 20th March to 30th June 2020, all UK VAT registered businesses are eligible and no application is necessary. The Making Tax Digital regulations still apply however and VAT returns must still be submitted by the usual method/ deadlines. Any deferred VAT liabilities will not be due until the end of the 2020/21 financial year. Should you wish to defer payment and currently pay by direct debit then this must be cancelled with your bank. It is important that this is done in sufficient time to ensure that the payment is not taken automatically by HMRC.
In the case of VAT reclaims and refunds, these will still be paid by HMRC as normal.
Please see the link below on the current government guidance on support for businesses.