VAT Deferral New Payment Scheme – 22/02/2021

If you deferred VAT payments due between 20 March and 30 June 2020 and still have payments to make you can:

  • Pay the deferred VAT in full, on or before 31 March 2021
  • Join the VAT Deferral New Payment Scheme
  • Contact HMRC on 0800 024 1222 by 30 June if you need extra help to pay

The VAT Deferral New Payment Scheme is open from 23 February up to and including 21 June 2021. The new scheme lets you:

  • Pay your deferred VAT in equal instalments, interest free
  • Choose the number of instalments, from 2-11 (depending on when you join)

To use the online service you must:

  • Join the scheme yourself
  • Still have deferred VAT to pay
  • Be up to date with VAT returns
  • Join by 21 June 2021
  • Pay the first instalment when you join
  • Pay your instalments by Direct Debit

Before joining you must:

  • Create your own Government Gateway if you do not have one already
  • Submit any outstanding VAT returns from the last 4 years
  • Correct errors on your VAT returns ASAP
  • Make sure you know how much you owe

You may be charged interest or a penalty if you do not:

  • Pay the deferred VAT in full by 31 March 2021
  • Opt-in to the New Payment Scheme by 21 June 2021
  • Agree extra help to pay with HMRC by 30 June 2021

The online service is open between 23 February and 21 June 2021

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