Businesses across the UK have delayed the payment of taxes, such as VAT, PAYE and Corporation Tax worth a total of £2.5bn, HM Revenue and Customs (HMRC) has confirmed.
HMRC figures show that UK Companies made 141,000 tax rescheduling agreements in the past six months as they tried to rearrange cash flow in severe trading conditions.
UK businesses were able to delay the payments through negotiations with HMRC’s Business Payment Support Service (BPSS), launched by chancellor Alistair Darling in his pre-Budget report last year. Businesses that took advantage of the scheme comprised a range of small and medium-sized enterprises (SMEs) and larger firms.
Whilst this may offer a business a short term respite from impending cash flow problems, Directors and business owners should remember that these taxes owed are now in arrears. VAT and PAYE arrears can be tricky to fully repay, however, with the right kind of professional advice and budgetary planning and clear strategy can be achieved.
If you or your business would like impartial help and advice with Tax Arrears such as PAYE or VAT, Enable Finance have trained business advisors on hand and able to help. For further information please contact Phillip Evans direct on m. 0797 0500 425 or email [email protected]