Businesses in the UK owe £1.8 billion in late corporation tax, research reveals

UK businesses owe HM Revenue & Customs (HMRC) a total of £1.8 billion in late corporation tax payments, research from financial supermarket Funding Options has revealed.

images

The value of corporation tax payments in arrears has risen from £1.59 billion to £1.82 billion, according to Funding Options’ research. This represents an increase of 15% over the past year.

The online business finance supermarket also warned that HMRC is using ‘increasingly aggressive methods’ to recover overdue tax.

These methods include issuing late payment penalties, sending debt collectors to business premises and seizing assets. Funding Options warns that such measures may have ‘serious negative repercussions’ for businesses.

Conrad Ford, CEO of Funding Options, commented: ‘These figures demonstrate the growing pressure on cashflow for companies, which could get worse following the outcome of the EU referendum. Companies might want to explore in detail alternative finance options available to them before HMRC comes knocking on their door.

‘Businesses need to make sure they have the adequate funding to pay tax bills on time, without taking capital from other areas of the business.’

We can help with all of your tax planning requirements – please contact us for more information.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s