If you deferred VAT payments that were due between 20 March and 30 June 2020, then these payments technically need to be made to HMRC by 31 March 2021.
In recent weeks, the Chancellor has confirmed the following arrangements to deal with payment of the deferred sums:
You can make payments as normal by 31 March 2021
You can use the VAT Deferral New Payment Scheme – this entitles you to spread the payments due under the VAT Deferral Scheme over equal instalments up to 31 March2022.
Alternatively, you can seek to make Time To Pay arrangements with HMRC if you need more tailored support.
More information on the VAT Deferral New Payment Scheme will be available on GOV.UK in the coming months; in the meantimeplease keep a watchful eye on your cashflow and build an awareness of what Scheme may be best for your business over the coming months.
Should you require any additional advice, please do not hesitate to contact one of the Partners or Jo Travis.