VAT payments..advice sought

[1976_Child]

I is confused.com

 

Did Darling say that we can now apply to pay our VAT bills later than normal or was that a Tory idea that never got off the ground? If anyone else out there is VAT registered and has worked this out could you let me know.. most appreciated.

 

cheers

[Baj]

no, there is no delays in payment, just the 13 month reduction.

If you are on a flat rate vat scheme, then that only drops by 1% not 2.5%

[1976_Child]

no, there is no delays in payment, just the 13 month reduction.

If you are on a flat rate vat scheme, then that only drops by 1% not 2.5%

 

thanks.

[bridge too far]

However, according to the BBC website:

 

 

Is there some help for small businesses?

The planned increase in the small companies rate of corporation tax has been deferred, so the 2009 tax rate will be unchanged.

Credit worth £1bn to small firms will be offered by the government via a temporary Small Business Finance Scheme.

HM Revenue and Customs (HMRC) will allow firms facing difficulties to spread the payment of all their business taxes over a timetable they can afford, for as long as they need. The Treasury confirmed to the BBC that this includes the self-employed.

 

http://news.bbc.co.uk/1/hi/business/7746241.stm

[1976_Child]

oh, well that looks slightly better...

[Saint Keith]

no, there is no delays in payment, just the 13 month reduction.

 

not sure thats right mate. hmrc have been instructed to allow small firms to request delaying or spreading their payment over any reasonable time frame, ie up to a year or two if neccesary, but you do have to pay 5.5%pa on the amounts you havent paid in time. had this confirmed by 2 different accountants today as their understanding also, but as ever with this c(unting government, have to wait until the official notices are released, and look at the detail