Self-Serve VAT Payment Plans Launched By HMRC

As of 31^st May 2023 certain VAT-registered businesses are now able to arrange VAT payment plans directly with HMRC via their online account.

HMRC – Set Up A VAT Payment Plan

Businesses will be eligible to set up the payment plan online if:

• the latest VAT return has been filed;
• the total amount of VAT owed to HMRC is £20,000 or less;
• the plan is arranged within 28 days of the payment deadline;
• there are no other current payment plans or debts outstanding with HMRC; and
• the debt is expected to be paid off within 6 months.

Businesses using the cash accounting or annual accounting schemes for VAT will not be eligible to set up a payment plan using the online service. If a business makes VAT payments on account then they too will be ineligible for the service.

Businesses that are not eligible to set up a plan online should contact HMRC to arrange one if required.

HMRC – Payment Problems

If you would like more information on this topic, please do contact your local Whitings Office.

Disclaimer - All information in this post was correct at time of writing.