Deferred VAT payment scheme launches
Many businesses took advantage of the VAT deferral scheme and have been awaiting guidance on how to spread the repayment of the deferred amount. The scheme has now launched, so what are the key points?
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New HMRC guidance on winter fuel payments
HMRC has released new guidance on the recovery of winter fuel payments. What do you need to know?
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New process for some exports starting in Northern Ireland
Starting next month, businesses that import goods via Northern Ireland will need to change their processes. What do you need to know?
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Forming a partnership to split your income
You’ve been doing some freelance work and what started out as a modest side hustle is now taking off. You’ll need to pay tax on the profits but is it possible to reduce it by splitting the income with your spouse?
The government says that over 500,000 businesses used the VAT deferral scheme in 2020. Originally, the due date for deferred amounts was to be 31 March 2021. However, due to the ongoing restrictions the government announced that it would launch a new payment scheme that affected businesses could opt into to spread the repayment over a year instead. To join the scheme portal click here
Businesses can spread their payments with two to eleven equal monthly instalments, interest free. Payments can start from March 2021, and the earlier businesses opt in, the more instalments are available to help spread the cost and provide further support. In order to qualify and opt into the new payment scheme, you must:
• join the scheme yourself, your accountant cannot do this for you
• still have deferred VAT to pay
• be up to date with your VAT returns
• join by 21 June 2021
• pay the first instalment when you join
• pay your instalments by Direct Debit.
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