United Kingdom United Kingdom and Isle of Man – Change to interest rates applied to late VAT payments and overpayments 13 June 202350 views1 min read In the UK, HMRC charge late payment interest from the first day that the VAT payment is due until the day it is paid in full. Interest is charged at the Bank of England’s base rate plus 2.5%. As a result of the Bank of England increasing its base rate from 4.25% to 4.5%, HMRC will impose 7% interest to late payments from 31st May 2023. …. Source Meridian Tax authorities / Penalties / Interest Lessons from the courts HMRC Policy paper: VAT liability of digital publications — Supreme Court decision in News Corp and Ireland Ltd
In the UK, HMRC charge late payment interest from the first day that the VAT payment is due until the day it is paid in full. Interest is charged at the Bank of England’s base rate plus 2.5%. As a result of the Bank of England increasing its base rate from 4.25% to 4.5%, HMRC will impose 7% interest to late payments from 31st May 2023. …. Source Meridian
