VAT cheque payments by post - Important Changes
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Issued 25 Feb 2010
From 1 April 2010 all cheque payments by post will be treated as being
received by HM Revenue & Customs (HMRC) on the date when cleared funds reach
HMRC’s bank account.
This means that you must allow enough time for the payment to reach HMRC and
to clear into HMRC’s bank account no later than the due date shown on your VAT
return. A cheque takes three bank working days to clear – excluding Saturdays,
Sundays and bank holidays. This change does not affect any cheque payments made
by Bank Giro.
If your cheque payment does not clear by the due date shown on your VAT
return you may be liable to a surcharge for late payment.
HMRC recommends that you make your VAT payments electronically as this is
safe and secure and, in most cases, gives you up to seven extra calendar days to
pay or, if you pay by Direct Debit, at least ten extra calendar days. Please
remember that if you file your VAT return online you must pay electronically.
For more information
about paying VAT and the full range of payment options
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© Crown Copyright 2010.
A licence is needed to reproduce this article and has been republished for
educational / informational purposes only. Article reproduced by permission of
HM Revenue & Customs under the terms of a Click-Use Licence. Tax briefs are
updated regularly and may be out of date at time of reading.
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Article Published/Sorted/Amended on Scopulus 2010-02-28 15:56:09 in Tax Articles