VAT Investigation

VAT officers are responsible for the collection of VAT for the government. They check businesses to make sure that their VAT records are up to date. They also check that amounts claimed from or paid to the government are correct. They examine VAT records, question the business owner or the person responsible for the VAT records and watch business activity.

If your business is VAT-registered, you are responsible for accounting for VAT correctly. You are also responsible for making any VAT payments due on time.

To keep proper VAT accounts, you need to keep various documents you have issued or received - including receipts and suppliers' invoices. You do not have to keep records in any set way, but they must be complete and up to date. They must also be easy for VAT officers to check, and the figures that you have used to fill in your VAT Return must be easy to reconcile.

HM Revenue & Customs (HMRC) makes VAT visits as part of their checks to make sure that you are paying the correct amount of VAT. VAT officers also use their visits to make sure that your accounting and record keeping is accurate and up to date. When a VAT officer visits, they will want to talk either to you or to the person responsible for your VAT. If there is another responsible person who can answer any questions and provide further information about VAT, then you will not need to be present throughout the visit. However, at the end of the visit, the VAT officer will discuss their findings with you.

If you are not familiar with VAT affairs then we suggest you talk to us as soon as possible.