VAT deferred due to Coronavirus
If you deferred VAT 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
- opt into the VAT deferral new payment scheme when it launches in 2021
- contact HMRC if you need more help to pay
You can pay your deferred VAT in full by 31 March 2021.
You cannot opt in yet. The online opt in process will be available in early 2021. You must opt in yourself; we cannot do this for you. We will advise you on how to make the claim and instead of paying the full amount by the end of March 2021, you can make up to 11 smaller monthly instalments, interest free. All instalments must be paid by the end of March 2022.
Please contact us if you deferred VAT.
VAT: Reduced rate for hospitality, holiday accommodation and attractions
Guidance has been updated to reflect the extension of the VAT reduced rate for tourism and hospitality from 12 January to 31 March 2021.
The government made an announcement on 8 July 2020 allowing VAT registered businesses to apply a temporary 5% reduced rate of VAT to certain supplies relating to:
- hotel and holiday accommodation
- admissions to certain attractions
The temporary reduced rate will apply to supplies that are made between 15 July 2020 and 31 March 2021.
VAT on admission charges to attractions
Guidance has been updated to reflect that the VAT reduced rate for tourism and hospitality has been extended to 31 March 2021.
December 9th, 2020