HMRC’s latest VAT notes
HMRC has published the latest quarterly edition of VAT notes, along with a Budget supplement which provides VAT registered businesses with a summary of recent changes and important notices pertaining to VAT. The main topics covered in this latest edition are as follows:
- Payments by cheque – HMRC have changed the way they treat payments by cheque. From 1 April 2010, the payment date will be treated as the date the cheque is cleared in HMRC’s bank account rather than the date the cheque is received.
- VAT online filing– From 1 April 2010 most businesses are required to submit VAT returns and make payments electronically. This applies to all newly VAT registered businesses and to all businesses with a turnover of £100,000 or more.
- VAT time limits for assessments and claims – On 1 April 2010 these came into line with the 4 year time limits for other taxes.
- Tax evasion – HMRC have new powers to publish the names of tax evaders where the tax evaded exceeds £25,000. These powers apply to most taxes, including VAT and excise duty.
- VAT registration limits. The VAT registration limit increased from £68,000 to £70,000 with effect from 1 April 2010, whilst the deregistration limit increased from £66,000 to £68,000 from the same date.