VAT defaulters

News: August 2011

VAT defaulters

If you know of any trader who should be VAT registered but is not for some reason, please do both them and us a favour by suggesting they meet us for an informal chat.

That is not meant to sound ominous — the point is that HMRC have just launched a campaign to target what they reckon is 40,000 businesses whose turnover exceeds the annual VAT threshold of £73,000.

We can help anyone in that position by making a disclosure before HMRC come knocking on their door, and that should mean a substantial reduction in the penalty level normally charged.

Unusually in this form of tax amnesty, HMRC have not said what the reduced penalty level is, but we would always fight hard to get this set at the bare minimum to reflect the particular circumstances of the case.

This article is not advice – instead these are pointers designed to help you navigate your, way through your tax affairs. You should not take any action – or refrain from any action – as a, consequence of anything we discuss above. Special advice is required if considering taking a dividend.