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VAT direct debit

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    VAT direct debit

    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?

    #2
    Originally posted by SuperZ View Post
    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.

    Comment


      #3
      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.

      Comment


        #4
        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
        Last edited by SuperZ; 18 April 2010, 17:16.

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          #5
          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.

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            #6
            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.

            Comment


              #7
              Originally posted by Maslins View Post
              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.
              If you have to add a , it isn't funny. HTH. LOL.

              Comment


                #8
                Originally posted by The Wikir Man View Post
                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.

                Comment


                  #9
                  Originally posted by SuperZ View Post
                  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.

                  Comment


                    #10
                    Originally posted by Sockpuppet View Post
                    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.

                    Comment

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