Reply to: VAT direct debit

[escapeUK]

Fancy becoming an accountant? Sadly your experience is all too common. Sadly they seem to have cut the staff before they got all the online gubbins working properly.

Keep reminding yourself, the government is bankrupt.

[spig]

I had this problem. They let me off being late when I made manual payment. Second payment after setting up went out via DD without a problem.

[Lumiere]

You need to set up the direct debit BEFORE submitting the VAT return. I've witnessed quite a few times where someone submits their first VAT return and sets up the direct debit in the same online session, but if they submit the return first then (at the point it was setup) no direct debit was in place.

Doesn't matter if it's BEFORE or AFTER if all done on the same day. You need to allow several days between DD and the return to make it collected automatically.

Got caught there as well, the message they show upon the completion of the DD setup is truly misleading, glad I decided to double-check it today, so I still have time to pay it manually before the due date. Waiting time on the phone was about 10 minutes.

[The Wikir Man]

I tried to call HMRC three times today, morning, early afternoon and 7:40pm (hoping they'd be quite just before closing). Each time after hearing a long recorded message, the automatic service just stated "we are very busy right now, please call again later" - not even a queing service available they simply disconnected the call.

So the government can piss a lot of money away on some crappy projects etc yet one of their own revenue collections services is piss poor beyond belief.

Sod 'em, they'll get the monday Wednesday - they kiss my if they try to penalise my company

As I said earlier - I was a month late because I assumed that the direct debit would work. They just wrote and told me something was wrong with the return or the payment - manually made the payment and no penalty for being a month late.

Hopefully you'll find the same.

[Maslins]

I tried to call HMRC three times today, morning, early afternoon and 7:40pm (hoping they'd be quite just before closing). Each time after hearing a long recorded message, the automatic service just stated "we are very busy right now, please call again later"

Fancy becoming an accountant? Sadly your experience is all too common. Sadly they seem to have cut the staff before they got all the online gubbins working properly.

[SuperZ]

I tried to call HMRC three times today, morning, early afternoon and 7:40pm (hoping they'd be quiet just before closing). Each time after hearing a long recorded message, the automatic service just stated "we are very busy right now, please call again later" - not even a queing service available they simply disconnected the call.

So the government can piss a lot of money away on some crappy projects etc yet one of their own revenue collections services is piss poor beyond belief.

Sod 'em, they'll get the money Wednesday - they can kiss my if they try to penalise my company

[SuperZ]

If you've made a manual payment what acc no did you send it to (last 4 digits will do) as they changed the accounts about 4 months ago.

I used the one suggested on the back of the VAT form, but as I typed it in my bank recognised it as one of their pre-configured beneficiaries so I just selected that instead, so I'm confident is is the correct one.

[Maslins]

After digging around the HMRC website I found a piece that stated DD has to be created 5 days before filing a tax return to automatically pay.

Oh yeah, that is ringing a bell now.

[ASB]

Would be nice if they popped something up on the screen that said that the next payment needed to be done manually, but at least I didn't get charged anything for being late.

That system was developed for 8 digits of quid. Very nearly 9 in fact if my recollection of the number is right. There is absolutely no way within the budget they could have done anything better.

[The Wikir Man]

If it's for the VAT quarter ended 28 Feb 10, the direct debit should've been taken on 10 April 10. I very much doubt it's simply late and will come out any time now.

You need to set up the direct debit BEFORE submitting the VAT return. I've witnessed quite a few times where someone submits their first VAT return and sets up the direct debit in the same online session, but if they submit the return first then (at the point it was setup) no direct debit was in place.

You'll need to pay this one manually (online bank transfer is fine) and the direct debit should work fine from next quarter onwards.

I got caught on that - a month after the payment was due, they wrote and asked for it. Rang them and they explained it, so paid it manually with no problems.

Would be nice if they popped something up on the screen that said that the next payment needed to be done manually, but at least I didn't get charged anything for being late.

[Sockpuppet]

If you've made a manual payment what acc no did you send it to (last 4 digits will do) as they changed the accounts about 4 months ago.

Just to make sure you've got the right one.

To be honest I've found the vat guys helpful. Under submitted my VAT return by £1000 once (typo) and they were stella about it. Sorted in under 2 hours.

[escapeUK]

I personally think its best to keep as much control as possible.

Like someone said, if they do it wrong it would still be your fault so best to be in control.

[SuperZ]

Cheers.
I've made the manual payment. After digging around the HMRC website I found a piece that stated DD has to be created 5 days before filing a tax return to automatically pay. THe HMRC VAT pages never actually stated that when I setup the damn DD, or if it did, it wasn't clear (probably some small text somewhere). I remember when I created the DD, the site just accepted it without any further messages - a prompt to inform user that the DD won't be used if return already filed would be nice. WHen I created the DD I did see one message that stated the DD must be created by the 10th day of the month to enable automatic payment the following month, and this I did.

Will give 'em a call tomorrow.
Will laugh like hell (or cry!) if they also take DD payment

[Maslins]

If it's for the VAT quarter ended 28 Feb 10, the direct debit should've been taken on 10 April 10. I very much doubt it's simply late and will come out any time now.

You need to set up the direct debit BEFORE submitting the VAT return. I've witnessed quite a few times where someone submits their first VAT return and sets up the direct debit in the same online session, but if they submit the return first then (at the point it was setup) no direct debit was in place.

You'll need to pay this one manually (online bank transfer is fine) and the direct debit should work fine from next quarter onwards.

[ASB]

I signed up for the online VAT processing and used the direct debit option to keep it simple, to ensure I don't miss any payments. Today I checked my account balances and they've not drawn the amount I owe for the VAT period ending 28/02. I checked with my bank and yes the direct debit has been setup.

When I used the direct debit option on the HMRC website I found it lacking in information. BUt somewhere I read that they draw the money 3 days after it's due. However, it's now the 18/04 so should have been paid before now.

Anyone else had issues with this, are they just slow in taking the payment? I wasn't supposed to make the first payment manually or something was I, before the direct debit method kicks in when the next VAT return is submitted?

You won't like the VAT man when he's annoyed. Given your vat payment now seems about 2 months late I would suggest talking to them PDQ. I fully accept that you may have set up the direct debit but whyever they haven't drawn the money it will be your fault. There are no possible circumstances in which it is theirs...

If you submitted your VAT return online (I assume you do it online?) before signing up for direct debit it may well be an issue. It used to be the case that direct debit only worked going forwards.