Brockley’s Rock, a fish and chip shop, appealed against HMRC’s decision to asses…
VAT Health Check
If you have an established business and require comfort that your VAT systems are fit for purpose, we can undertake a VAT Health Check. This would include:
- Confirmation that you have correctly identified the VAT liability of your supplies/income streams.
- A review of your VAT recovery procedure and processes.
- A review of your partial exemption method and application of the de minimis provisions (as applicable).
- A review of the VAT treatment applied to one off transactions such as property purchases and sales.
- Highlighting areas of concern or opportunities
- Maximising your VAT recovery position and use of available VAT reliefs.
- Determining which scheme is best suited for your business for accounting for VAT, e.g. regular VAT accounting, cash accounting scheme, flat rate scheme, etc.
The main purpose of a VAT Health Check is to ensure that as a business your handling of VAT is in line with current VAT laws and is as effective as possible. By doing this a business is then able to recognise prospective opportunities for saving VAT. If a business unwittingly remains non-compliant, penalties can be incurred and the instigation of retrospective action may come too late.
Another major advantage of our health check service is that it assists you to demonstrate to HMRC that you take “care” when considering VAT. This is crucial as it will ensure that penalties are as low as possible (and are hopefully nil) if an error in your VAT accounting is identified at a later date.