Anyone use online VAT filing?

[Fred Bloggs]

We file on line but we pay by electronic transfer. That way, we're in control of when the money is paid over and we avoid possible late payments. That way we aim to stay below the HMRC radar.

[d000hg]

Just phoned 'em:

You need to set up the DD before you do your return (5 working days as quoted, but I'd leave it a bit longer) otherwise their system won't recognise there is a DD in place and won't take payment.

If you set up the DD and file on the same day (as I did) you need to pay separately for the last quarter (which you have just filed).

That's a pain. Guess I'll phone this week and make sure that's what they want, to avoid possible double payment.

Thanks.

[Maslins]

Yup, agree with Moscow Mule.

Our experience has suggested that (assuming you setup DD at same time as doing first online VAT return as most people do) it's best to pay the first one via bank transfer.

As I understand it filing VAT returns online is going to become compulsory for all new businesses and existing businesses with turnover >£100k in the very near future. Existing businesses under that threshold will have a bit longer to move over, but I'm sure they'll have to eventually.

[Moscow Mule]

Just phoned 'em:

You need to set up the DD before you do your return (5 working days as quoted, but I'd leave it a bit longer) otherwise their system won't recognise there is a DD in place and won't take payment.

If you set up the DD and file on the same day (as I did) you need to pay separately for the last quarter (which you have just filed).

[OrangeHopper]

Not so distant plans are for you to have to do it online.

Money is taken out about the 10th of the next month.

[TheCyclingProgrammer]

I set up a DD at the same time that I submitted my last return and the money was never collected. I ended up having to make a manual payment. No fine for the late payment as it was an honest mistake.

You may want to ring the VAT helpline and they will confirm if your DD has been set up in time.

They usually collect 3 days after the due date I think.

[singhr]

Are there any meaningful incentives to file online or is it a convenience thing?

At moment my accountant does the calc and I xfer the money to hmrc online. If they can take it up to four weeks later it must be a pain keeping enough in your current account to pay them?

[Moscow Mule]

I did my first one online for the last quarter. When I set up the DD they said the earliest they could take the money was the 12/01 - so I'm expecting the money to go from the account today...

[lexington_spurs]

I set up a direct debit option and filed my most recent VAT return, it is listed as a previous return but no money has gone from my account. I'm not sure if that's them being slow, or there's anything else needed - my understanding was once they have the DD instruction, they'd automatically take/pay the money due as I submit my online returns. Is that correct?

Allow up to 4 weeks, if you got a confirmation email it should tell you when to expect the money to be collected.

edit - no the email doesn't say that!

[d000hg]

I set up a direct debit option and filed my most recent VAT return, it is listed as a previous return but no money has gone from my account. I'm not sure if that's them being slow, or there's anything else needed - my understanding was once they have the DD instruction, they'd automatically take/pay the money due as I submit my online returns. Is that correct?