VAT Basics may catch you out
You may be late with your VAT returns and not even know it. You may have miscalculated your VAT as well, and not even realise it. Either way, that may mean fines. And we can help with it all.
VAT should always be calculated on a 12-month rolling amount. If your first VAT year was March to February, the next year’s rolling VAT year would therefore be April to March. Then May to April and so on. It’s not like the tax year for the self employed that stays within a rigid structure. Be wary.
The rolling year model can catch you out if you have a big spike in turnover in one of the months, especially if you believe that month to be within a rigid financial year rather than the rolling one. The month that money comes in is the month you officially receive the money.
Fear not, we can help
Getting it wrong on one of these, let alone two, could mean big liabilities. And that’s where Michele, our VAT expert comes in. She is able to talk to HMRC in their language and get those fines reduced.
“I have successfully dealt with many late VAT registrations, minimising the amount of VAT and penalty due from our client to HMRC. One recent case saw a VAT bill that could have been as high as £12,755.60 plus a penalty reduced to £25.48. I’m still working on the £25.48 though!”
Other huge VAT savings
Where Michele can also help is illustrated with one large client of hers that was partially VAT exempt that were looking to reclaim against a new premises build.
Michele managed to restructure their business, bringing it from 70% up to a 90% reclaim against the build. In real terms, it meant her very grateful client had £1.15m repaid into their account without a peep from HMRC instead of the original £850k they anticipated.
If you have a VAT query, are unsure of your liability or, indeed, you are facing some hefty bills and are looking for some help, then get in touch. She can even provide you with a mock VAT inspection to avoid nasty surprises. If it’s VAT related, she can help; because she speaks the language of HMRC.
Call us now to have a chat about your needs.