HMRC Time to Pay Scheme Extended but For How Long?

Late last year their were rumours and speculation about the effect of the government removing the HMRC's "Time to Pay" Scheme that has enabled large numbers of businesses to take additional time to pay their Tax and VAT liabilities.

This was followed by the announcement that the Time to Pay Scheme was going to be extended for "as long as is needed".

This sounds like good news on the face of it but that statement lacks clarity. How will it be decided it is no longer needed and it is no longer needed by who? It seems unlikely that the scheme will be continued indefinintely and when it is removed their will be large volumes of businesses fighting to raise the finance necessary to pay their tax and VAT.

Good sense would suggest it is time to act early and put in place the funding to meet this liability whenever it arises and before the finance companies are swamped with applications for support.

Posted: 15th of January 2010