HMRC to phase out government cheques for VAT refunds
HMRC is looking to phase out repayments of VAT by payable order (government cheques) due to them being untraceable, with refunds to be straight directly into bank accounts
12 Jul 2017
Each month hundreds of payable orders issue to VAT payers are returned to HMRC undelivered, which suggests that the businesses and individuals cannot then be traced.
As HMRC is phasing out payable orders businesses and individuals will need to provide HMRC with a sort code and account number using the VAT online service. The account must be in the name of the registered person or company.
Once registered HMRC will make all future VAT repayments direct to the account.
Individuals and businesses unable to use the online service can send HMRC bank account details on form VAT 484 or write to the VAT registration service.
The request must be signed by the appropriate person and should include a VAT registration number and the relevant period end date.