Income Tax and VAT arrears

HM Revenue and Customs (HMRC) have strong powers to collect arrears of income tax and VAT, so treat each of these as a priority debt.
  • can take your goods without first getting a court order
  • can collect debts through the Magistrates’ and County Courts
  • often start bankruptcy proceedings.
Use your financial statement to work out what you can afford to offer, aiming to clear the debt as soon as possible.
Get more information on dealing with income tax or VAT arrears 

If you are sorting out debt problems, start at the beginning of this guidance, otherwise you may miss valuable information.

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