HMRC support for businesses affected by the virus

Chancellor Rishi Sunak has set out a package of temporary targeted measures to support public services people and businesses through this period of disruption caused by Covid-19. 

The main tax measures include the deferral of VAT payments for three months from 20 March until 30 June. This will apply automatically to all UK businesses. They will have until 5 April 2021 to pay any liabilities that have accumulated during the deferral period. VAT refunds and reclaims will be paid by the government as normal.

In a move intended to help self-employed taxpayers the chancellor said that self-assessment income tax payments due on 31 July will be deferred until 31 January 2021. This is an automatic offer with no applications required. HMRC confirms that no penalties or interest for late payment will be charged in the deferral period. Mr Sunak also announced that the minimum floor for universal credit would...