VAT Deferral Scheme

Posted on 21st April 2021 by Joanne Stoneman

If you deferred payments that were due between 20 March and 30 June 2020, you can use the New Payment Scheme to spread these payments over equal installments up to 31 March 2022. 

In order to take advantage of the new payment scheme businesses will need to have deferred VAT payments between March and June 2020 under the VAT Payment Deferral Scheme. They will now be given the option to pay their deferred VAT in equal consecutive monthly installments from March 2021.

Businesses will need to opt-in to the VAT Deferral New Payment Scheme. They can do this via the online service that opens on 23 February 2021 and closes on 21 June 2021.