HMRC Hails Success Of Business Payment Support Service

by Robert Lee, Tax-News.com, London

13 February 2009

The UK government has announced that over 60,000 businesses have agreed 'time to pay' tax arrangements with HM Revenue and Customs (HMRC) totalling more than GBP1bn.

The Business Payment Support Service (BPSS) announced by the Chancellor in November's Pre-Budget Report provides a fast track service that offers support to businesses needing more time to pay their tax bills, including corporation tax, VAT, PAYE, income tax and national insurance contributions. The majority of businesses have agreed repayment timetables spread across 3 to 6 months.

Construction firms account for a quarter of those benefiting from these new arrangements, with many retailers and manufacturers also agreeing payment schedules.

According to HMRC, in the majority of cases businesses can get a decision within ten minutes on the help they can receive.

Stephen Timms, Financial Secretary to the Treasury commented:

"I'm delighted that HMRC's Business Payment Support Service is proving such a huge success, already providing a cashflow boost worth over a billion pounds to UK businesses."

"This service is delivering the kind of tangible support that business needs at this time. I would urge any business anticipating or experiencing difficulties paying their tax to call the helpline and get a quick response tailored to their specific needs."

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