Have you recovered all the VAT you are entitled to?
HM Revenue & Customs (HMRC) guidance has resulted in some businesses not recovering all the VAT they were entitled to on fixed assets used in the business both before and after the business registered for VAT.
In some cases businesses were charged penalties and interest simply for claiming the VAT they were entitled to. HMRC now accepts that businesses have suffered as a result of its guidance and on 4 November 2016 it published Revenue & Customs Brief 16 (2016) – See this here. confirming that its guidance will be amended.
Revenue & Customs Brief 16 (2016) also refers to the process, which is subject to time limits, to recover VAT that was not claimed by businesses (but which HMRC now accepts they were entitled to claim) or if claimed, was wrongly assessed by HMRC. Claims for refunds of penalties and interest wrongly charged by HMRC should also be considered.
If you are concerned that your business has not recovered all the VAT it is entitled to, or has wrongly been charged penalties or interest, please contact Alex Millar or Naveen Sahney, 01904 464 100 – Or fill in our contact form below.