Paying Tax

Deferral of VAT payments due to Coronavirus (COVID-19)

If you’re a UK VAT-registered business that deferred VAT payments between 20 March 2020 and 30 June 2020, you now need to:

  • set-up cancelled Direct Debits in enough time for HMRC to take payment
  • continue to submit VAT returns as normal, and on time
  • pay the VAT in full on payments due after 30 June

Any VAT payments you have deferred between 20 March and 30 June should be paid in full on or before 31 March 2021. For more information see Pay your VAT bill.

For further information on deferral of VAT payments visit: https://www.gov.uk/guidance/deferral-of-vat-payments-due-to-coronavirus-covid-19


Deferral of Self-Assessment payments due to Coronavirus (COVID-19)

If you receive a Self Assessment statement before 31 January 2021 it may still show the deferred July 2020 payment on account as due and payable now.

You can still pay your deferred July 2020 payment on account any time up to 31 January 2021. You’ll not have interest or a penalty as long as you pay in full by that date.

Some statements may also show interest accruing if you have any payments on account. This interest will only apply to those other payments, not your deferred July 2020 payment on account.

For further information on deferral of Self-Assessment payments visit: https://www.gov.uk/pay-self-assessment-tax-bill


If you cannot pay your tax bill on time

Because of coronavirus you may be able to delay (defer) your Self Assessment payment on account due in July 2020 until 31 January 2021.

Contact the HMRC coronavirus (COVID-19) helpline if you cannot pay any other tax bills because of coronavirus.

If you are self-employed and your business has been affected by coronavirus (COVID-19), you may be able to claim a grant through the Self-Employment Income Support Scheme.

For further information visit: https://www.gov.uk/difficulties-paying-hmrc