Do More Online

MTD for VAT has been around for a few years now, so it may well be a little surprising, but nonetheless welcome, that HMRC has only just brought in two online systems associated with VAT.

The first system relates to an update to the VAT registration service for agents. This came in on 1 August 2022 and means we can assist more in registering you for VAT when required.

The second, potentially far more useful, is a new service that commenced on 8 August 2022, called the Online Error Correction Service. This can be accessed here: https://www.gov.uk/government/publications/vat-notification-of-errors-in-vat-returns-vat-652

This creates an online version of the VAT form 652 used to notify HMRC of errors made in submitted VAT returns.

It is still possible to correct certain errors in the next VAT return to be submitted. This covers net errors under £10k, or under £50k if less than 1% of the Box 6 figure of the VAT return which included the error.

It should be remembered that the amendment in a subsequent VAT return is not considered to be formal disclosure of the error, relevant for penalty mitigation, so separate notification to HMRC should still be considered.

If you’d like to learn more, please contact the Elman Wall Tax Team at 020 7600 5667 or by email at TaxTeam@elmanwall.co.uk

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