2 min read
Definition
A VAT return reconciles your output VAT and input VAT for a period and reports the net figure to HMRC. Most businesses file quarterly under Making Tax Digital, with payment due about a month and a week after the period ends.
In plain terms
It is the moment the VAT you have been holding actually leaves the business — which is why the payment date matters for cash flow.
Why it matters for your company
Forecast the return date and fund it in advance. A short facility can cover a big return without draining reserves — see bridging a VAT or tax bill.
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Bridging a VAT or tax bill
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Read →Funding for UK limited companies
Credicorp lends to your company, not to you personally — short-term working capital with no personal guarantee. See what your business could access.