This blog outlines how the new Domestic Reverse Charge scheme will affect the VAT returns and cash flows of businesses in the construction industry. The changes come into effect on Monday 1 March 2021.
HMRC have given business owners two repayment options for deferred VAT: pay in full or pay in installments. Find out more about your options here. Businesses will be charged penalties if you fail to either sign up for the new scheme, pay your VAT in full or agree with HMRC a plan to pay by 30 June 2021.