All UK businesses are eligible to defer VAT payments falling due between 20 March and 30 June 2020. Taxpayers will be given until the end of 2020/21 to pay any liabilities that have accumulated during this period. VAT refunds and reclaims will still be paid during this time.

Action – if you pay VAT by direct debit, ensure you contact your bank to cancel it in good time. The deferral applies automatically so there is no need to contact HMRC. However, you must still submit VAT returns on time as the deferral only applies to the payment of VAT