Delay to implementation of new penalty system for late submission and late payment of returns
Having recently given clients the good news about the replacement of the swinging default surcharge system for late submission/late payment of VAT returns, the Government announced yesterday that implementation will be delayed by nine months to 1 January 2023.
The reason given for the delay is that their IT systems are not ready for the change.
This is disappointing news as the new regime provides a fairer fixed penalty per default.
If you are having difficulty submitting your returns on time, please speak to us for assistance. If you are unable to pay the VAT due, our advice is to submit the return by the due date and contact HMRC immediately requesting a time to pay agreement. We can assist with this also. Contact us here.
