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COVID-19 | VAT Deferral New Payment Scheme

If you deferred payment of VAT between 20 March and 30 June 2020, your deferred VAT becomes due on 31 March 2021.

You have 3 options:

1. Pay VAT in full by 31 March 2021

2. Opt into the new payment scheme by no later than 21 June 2021.

3. Agree with HMRC about extra help to pay by no later than 30 June 2021.


VAT Deferral New Payment Scheme offer you:

- To pay deferred VAT in equal instalments interest free

- Choose the number of instalments from 2 to 11 depending on the time you join the scheme


Before joining:

- Create a government gateway account if you don’t have one

- Submit any outstanding VAT returns in the last 4 years (if you have any)

- Correct errors if you have any

- Know the exact amount you deferred including any payment you may have made

To use the online service, you must:

- Join the scheme yourself (your agent can not do it)

- Pay the first instalment when you join

- Pay instalments by Direct Debit

- Be up-to-date with your VAT returns


Further details HERE.


Any questions, please let us know.


The information provided in this article is not intended to constitute professional advice and you should take full and comprehensive legal, accountancy or financial advice as appropriate on your individual circumstances by a fully qualified Solicitor, Accountant or Financial Advisor/Mortgage Broker before you embark on any course of action.




0207 183 6623


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