Accounting Ideas

Ability to Pay HMRC VAT payment through SAGE Cloud

As a new user and the first time in having to pay VAT to HMRC I though that the PAY option did it all for you, but 2 weeks later after checking my banking see it doesn't......

  • Guest
  • Oct 3 2022
  • One For The Future
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  • Guest commented
    October 04, 2022 10:48

    Hi, I would strongly suggest that you set up a direct debit with HMRC to take payment/pay refund automatically rather than make manual payments via Sage or any other route. If you submit your return near to the deadline, you risk your payment not being received in time (e.g. it may have to be a faster payment).

    With a direct debit, you can submit your return 1 minute before the deadline and HMRC will take payment 3-4 days later from your bank (i.e. after the normal payment deadline) and you are absolutely fine. I can imagine situations where you submit much earlier and don't want to pay until the last day, but then if that's the case then the direct debit route actually gives you a couple extra days to pay, you just have to manage your submission date.