Following on from our last increase in rates blog post, HMRC have announced they will be rising their interest rates again on late paid tax and the rate paid on repayments of tax. The new rate changes will also apply for VAT amounts due for periods beginning on or after 1 January 2023.
The new rate of interest for late payment and repayment is increasing to 3.5%. These changes will come into effect on 26th December 2022 for quarterly instalment payments and 6th January 2023 for non-quarterly instalments payments.
For more information please visit: https://www.gov.uk/government/news/hmrc-late-payment-interest-rates-to-be-revised-after-bank-of-england-increases-base-rate--9