The reform of the VAT penalty system, which brings consistency to late payment and interest penalties and replaces the default VAT surcharge with a points based system, has been delayed until January 2023.
Supplies made by the hospitality industry that have been subject to a 5% VAT rate since July 2020, will become liable to 12.5% VAT between 1 October 2021 and 31 March 2022.
A recap of HMRC’s proposals to reform the penalties for late submissions to a points based system.
Summary of key points made in the Budget 2021, including measures to mitigate Coronavirus, extended reliefs, tax changes in 2021/22 and beyond.
HMRC has clarified the payment options and how to join the VAT deferral new payment scheme. The online service will be open between 23 February and 21 June 2021.
Following Rishi Sunak’s economic statement to the House of Commons on 11 Jan 2021, Craig Simpson, tax partner at Bates Weston, looks at the tax changes that may be ahead in the Budget on 3 March 2021.