VAT Payment “Holiday”

25th March 2020

HMRC has updated it’s guidance for the VAT payment holiday.

For those who pay by direct debit and wish to take the option of a payment holiday then they are now requesting that you cancel your direct debit with your bank.  If you do not normally pay by direct debit then you simply just do not make a payment.

The payment holiday applies for the February, March and April VAT quarters and after this you will need to set up a new VAT direct debit.  If you let us know when you cancel the direct debit then we will keep a note to remind those who need to have it set up again in the future.  You will then have until 31st March 2021 to pay the liability.