HMRC Raise The Limit for Traders to Correct VAT Mistakes

HM Revenue & Customs has announced plans to let businesses correct their own errors of up to £10,000 on their VAT returns.For the new VAT period, starting July 1 2008, the tax authority will raise the current £2,000 limit below which traders can currently amend their VAT mistakes by £8,000.This means that if taxpayers discover an error of up to £10,000 on their previous VAT return, they can amend it on the next return, rather than make a separate disclosure to HMRC.

The full article can be found here.

This has to be good news for businesses of all sizes. If you think you have found a VAT error on a previous statement and need some help correcting it please contact me to see if I can be of assistance.