Originally written by Anna Jordan on Small Business
Some small business owners are still confused as to whether they should complete their VAT return, according to MHA MacIntyre Hudson.
If you’re a UK VAT registered business and have a VAT payment due between 20 March 2020 and 30 June 2020, you can opt to defer the payment until 31 March 2021 or pay it as normal.
You don’t need to tell HMRC that you’re deferring your VAT payment, but you still need to submit your return in time for your original date. Those who make their payments by direct debit should contact their bank to cancel them in good time.
Alison Horner, indirect tax partner at MHA MacIntyre Hudson, says:
“The VAT deferral scheme is automatic but this fact has lulled some businesses into thinking they don’t need to complete a VAT return. It’s easy to think this is no longer necessary, especially as the national shutdown means many businesses can’t physically get to their offices or have furloughed the relevant staff.
“While VAT returns may be digital, businesses still often need to look through paper invoices to get the information they need. Businesses may assume government understands this, and don’t expect a VAT return given