HMRC Online Time To Pay for VAT
VAT registered businesses can now set up a payment plan online.
HMRC has recently launched an online payment plan for VAT registered busineses. Effective from May 31, 2023, VAT-registered businesses with VAT debts below £20,000 can now set up a payment plan online.
This means that UK businesess can now complete the process online instead of ringing through to HMRC directly.
If you are a UK business that is VAT-registered you can can set up its 'time-to-pay' payment plan online as long as your business;
- owes £20,000 or less
- has completed the latest VAT return
- is within 28 days of the payment deadline;
- does not have any debts outstanding with HMRC
- can repay the debt over the course of the next six months.
Businesses not eligible to use the online 'time-to-pay' service should contact HMRC if they need to agree a payment plan.
Some businesses will not be eligible to use the online service. This includes businesses that;
- Use VAT cash accounting
- Make Annual accounting schemes
- Make VAT payments on account
Businesses who cannot set up a payment plan online, should make contact with HMRC if they need to agree and set up a payment plan.
If you're not sure and have any questions about whether your business is eligible, get in touch. I help small businesses make informed decisions and personalised advice.