VAT quarters and corporation tax assessments are predictable in timing but can still create a significant lump-sum pressure on your company's cash flow. Credicorp Slice is well suited to exactly this kind of obligation — a fixed, documented demand you need to settle by a defined date.
How it works for a tax bill
You provide the HMRC notice or VAT return showing the amount due and the payment deadline. Credicorp settles the payment to HMRC on your company's behalf before the due date, so you avoid late-payment surcharges. You then repay Credicorp in three or four weekly instalments, plus the flat 6% fee on the tax amount. Your tax account with HMRC is cleared on time; your cash flow is spread over the following weeks.
Planning around quarterly VAT cycles
If your company is on quarterly VAT returns, you know broadly when each bill will fall. Applying for a Slice a few days before the payment deadline — with the return already filed — gives Credicorp the documentation it needs to move quickly. The cleaner and more complete the paperwork you supply, the faster the facility can be put in place.
Corporation tax and other HMRC charges
Corporation tax is payable nine months and one day after the end of your accounting period for most smaller companies. A Slice can bridge the gap if your company's trading has been strong but cash has been reinvested. Other HMRC charges — such as PAYE settlement agreements or employer NICs demands — may also qualify, depending on the nature and size of the obligation.
We lend only to UK limited companies and LLPs, and the loan is to the company with no director personal guarantee. As business finance outside the consumer-credit regime, it is not covered by the Financial Ombudsman Service or FSCS.
See also: What kinds of bills can Credicorp Slice cover?, How does Credicorp Slice work?.