VAT payment dates
Payment is due the same day as the return, one calendar month and seven days after quarter end. Here are the practical timing rules.
Quick answer
- Standard deadline: one calendar month and seven days after quarter end
- Direct Debit gives you an extra three working days for HMRC to collect
- Payments on Account scheme applies if you owe more than £2.3m a year
- Annual Accounting scheme has different timing rules
The standard deadline
For most businesses, VAT payment is due the same day as the VAT return — one calendar month and seven days after the end of your VAT quarter.
Direct Debit changes the timing
If HMRC has set up a Direct Debit, they will collect payment a few working days after the return deadline. You still file the return on time; the cash leaves your account a few days later. Many businesses use this for cash flow.
Annual Accounting Scheme
If you're on the Annual Accounting Scheme, you file one return a year (due two months after year end) but make either nine monthly or three quarterly payments on account during the year, with a balancing payment due with the return.
Payments on Account
Businesses with annual VAT liability over £2.3 million must make quarterly payments on account, plus a balancing payment when the actual VAT return is filed. Each payment on account is roughly a quarter of the previous year's VAT bill.
If your payment will be late
- Pay before day 15 — that avoids any late payment surcharge
- Set up a Time to Pay arrangement before day 15 if you cannot pay in full
- Pay what you can — surcharges apply to unpaid amounts only
- Late payment interest accrues from day one regardless
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