HMRC targets VAT rule breakers
HMRC is planning to launch a campaign this summer to focus on individuals and businesses who are trading above the VAT threshold but who have not yet registered for VAT.
The initiative is being carefully planned at the moment, as HMRC intend it to form the model for all future campaigns. They want to become more open about their compliance activities to reduce the tax gap and help customers pay what they owe.
HMRC campaigns aim to focus upon areas where a significant underpayment has been identified, providing affected parties with simple opportunities to put their records in order on the best possible terms.
Anyone seeking clarification on this or any other HMRC initiative should seek advice from their accountant.
Note: Every case is different and relates to its own specific circumstances.