If your company is experiencing temporary cash flow problems and is unlikely to be able to pay its tax obligations when they fall due, then a payment arrangement may be negotiated with HMRC over an extended period.
Known as a Time to Pay (TTP) arrangement, it is designed to help businesses that are fundamentally viable, ie. Profitable, but experiencing temporary cash flow problems.
Our advice with TTPs is to be proactive and don’t wait to be contacted by HMRC. We have experienced practitioners who can assist with presenting your case and negotiating with HMRC on your behalf.
Contact us today if you think this is a good option for your business
Summary of a Time to Pay (TTP) Arrangement
- Spreading your tax payments over a longer period of time
- Used for arrears in Corporation Tax, VAT and PAYE
- Can be used to avoid a late payment penalty from HMRC
- Previous payment history is taken into account
- Once a TTP arrangement is agreed, it is imperative that it is adhered to
- Interest may be charged, but HMRC late payment penalties will be lifted.
Instalment terms are generally in the region of 3 to 6 months, but can be extended to 12 months.
For more information on TTP’s, and for a confidential discussion with one of our expert consultants please contact us.
