There are several different ways to pay your VAT bill to HMRC. This blog post provides information on the two best ways to pay HMRC VAT.
Direct Debit
If you have a Direct Debit setup with HMRC then payment of your VAT bill will be taken automatically from your bank account 3 working days after your VAT return deadline, this will usually be the 10th of the month.
For example, if your VAT return submission deadline is the 7th July payment will usually be taken on the 10th July.
Setting up a Direct Debit is the most efficient method for paying your VAT bill. The benefits are as follows:
- Increase cash flow - HMRC will take the Direct Debit at the very last moment before the payment deadline.
- Reduce stress - HMRC will automatically take the payment, so you do not need to take up valuable mental bandwidth remembering to make payment.
- Save time - Avoid logging into your bank, checking your mobile for 2FA and everything else that comes with making an online payment. Every second counts!
How to setup a Direct Debit with HMRC to pay your VAT
You can set up a Direct Debit for VAT through your businesses government gateway account. Login to your businesses government gateway account.
If you have not set up a government gateway account for your business, you can do so by reading our blog post here.
Bank Payment
If you do not have a direct debit setup, you can make a manual bank payment to HMRC. View HMRC's payment details page.
Important: The reference to use on your bank payment should be your 9-digit VAT number (without letters or spaces). You can find your VAT number on the top of your VAT certificate or at the top of your VAT return.
Any other questions?
If you have any other questions, please email your account manager or contact us today!