What are VAT & Corporation Tax Loans?

VAT and Corporation Tax loans are specialist short-term business finance solutions designed to help UK companies meet their tax obligations on time. Whether facing quarterly VAT payments, annual Corporation Tax bills, or unexpected tax assessments, our tax loans provide immediate funding to avoid costly penalties and maintain your business cash flow.

Key Benefits of Tax Loans:

• Fast approval - Decisions within 24-48 hours

• Quick funding - Money in your account within 2-3 days

• Flexible amounts - From £25,000 to £5 million

• Avoid penalties - Meet HMRC deadlines and avoid late payment charges

• Preserve cash flow - Keep working capital for business operations

• Flexible repayment - Terms from 3-18 months to suit your business cycle

VAT Loans

• Quarterly VAT returns - Cover your regular VAT obligations

• VAT assessments - Handle unexpected HMRC assessments

• Import VAT - Finance customs and import duties

• Cash flow gaps - Bridge timing differences between sales and payments

Corporation Tax Loans

• Annual Corporation Tax - Meet your yearly tax obligations

• Advance payments - Cover corporation tax on account

• Tax assessments - Handle HMRC investigations and additional assessments

• Group relief - Finance complex corporate tax arrangements

Other HMRC Tax Finance

• PAYE and National Insurance - Employee tax obligations

• Construction Industry Scheme (CIS) - Subcontractor tax deductions

• Dividend tax - Personal tax on dividend distributions

• Capital Gains Tax - Property and asset disposal taxes

Common Business Scenarios:

• Seasonal cash flow - Revenue doesn't align with tax payment dates

• Growth periods - Rapid expansion creating temporary cash shortages

• Client payment delays - Waiting for invoice payments but tax is due

• Unexpected assessments - HMRC investigations or additional tax demands

• Business investments - Preserving capital for equipment, property, or acquisitions

• Contract delays - Project completion delayed but tax obligations continue

Warning Signs You Need Tax Finance:

• Struggling to meet quarterly VAT deadlines

• Corporation Tax due but cash tied up in stock or debtors

• HMRC penalty notices arriving

• Using business overdraft for tax payments

• Delaying supplier payments to pay tax bills

How Tax Loans work

1. Tax Assessment - Identify your VAT or Corporation Tax liability

2. Loan Application - Quick application with minimal documentation

3. Fast Approval - Decision within 24-48 hours

4. HMRC Payment - Funds released to pay your tax obligation on time

5. Business Continues - Maintain cash flow for daily operations

6. Flexible Repayment - Repay over 3-18 months as business generates income

Tax Loans terms and key benefits

Loan Amounts

• Minimum: £25,000

• Maximum: £5 million

• Up to 100% of tax liability covered

Loan Terms

• Duration: 3-18 months (up to 24 months for larger facilities)

• Repayment: Monthly instalments or interest-only with bullet payment

• Security: Can be secured or unsecured depending on amount and circumstances

Interest Rates & Fees

• Competitive rates - Approved in 24-48 hours

• Monthly rates typically 0.6-1.2% per month for secured facilities

• Transparent pricing with no hidden charges

• Arrangement fees typically 1-2% of loan amount

Eligability

Business Requirements:

• UK registered company or partnership

• Trading history - Minimum 12 months (6 months considered)

• Annual turnover - Typically £250,000+ (lower considered)

• Clean tax record - No serious compliance issues with HMRC

Financial Requirements:

• Recent management accounts or annual accounts

• Cash flow forecasts showing ability to repay

• Bank statements (typically 3-6 months)

• VAT returns and Corporation Tax computations

Documentation Needed:

• Tax liability evidence - HMRC demands, VAT returns, CT600s

• Company information - Certificate of incorporation, shareholders

• Financial statements - Latest accounts and management information

• Bank statements - Recent trading evidence

• Directors' details - Personal guarantees may be required

VAT Payment Dates:

• Quarterly returns - 1 month and 7 days after quarter end

• Monthly returns - End of following month

• Annual accounting - 2 months after year end

Corporation Tax Dates:

• Main rate - 9 months and 1 day after accounting period end

• Large companies - Quarterly instalments during accounting period

• Close company surcharge - Additional timing considerations

Penalties for Late Payment:

• VAT: 5% surcharge after 1 month, additional 5% after 4 months

• Corporation Tax: Interest charged daily plus potential penalties

• Credit rating impact: Late tax payments affect business credit scores

Get your Tax Loan quote

Don't let tax deadlines create business stress. Our tax specialists can provide a competitive quote within hours and have funds available within days.

Quick Application Process:

1. Initial consultation - 10-minute call to assess requirements

2. Instant decision - Preliminary approval within 2 hours

3. Documentation - Simple paperwork completed same day

4. Fast funding - Money available within 24-48 hours