HMRC and VAT Obligations

Most people running VAT registered businesses will, by now, have submitted at least one VAT return digitally.  We are all getting very used to the new system.

However, HMRC are still making life difficult for some VAT registered businesses.  For instance, we are finding some clients who are having problems when trying to ‘retrieve an obligation’ from HMRC, before they submit a VAT return.  This can be for a number of reasons.

Initially this was often because HMRC had failed to register the business for MTD, even though they said they have done so.  This is an HMRC issue.

More recently, we are finding that people who had no problems initially, are now finding that when they ‘retrieve an obligation’, for their second or later VAT MTD submission an incorrect obligation date is being returned.  There is a known problem with HMRC, particularly associated with non-standard VAT periods.  You will need to contact HMRC and get them to correct their system.

Contacting HMRC can itself be a big issue.  Why do they take so long to answer the phone?  It seems these days that the bigger the organisation, the more difficult they are to contact.  There is little we ordinary mortals can do about it – just make sure you have a big mug of coffee and something else useful to do when you call them…

Contact Charles at charlesholt@fcgagric.com or your local FCG office, for any MTD or VAT issues.

Posted in Business Management, Lincoln.