How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Sam Your Own Question
Sam
Sam, Accountant
Category: Tax
Satisfied Customers: 13862
Experience:  26 HMRC expertise, PAYE, Self Assessment ,Residency, Rental Income, Capital Gains, CIS ask for Sam Tax
16196420
Type Your Tax Question Here...
Sam is online now

Our client did not charged vat to its clients on fruit juice,

Customer Question

Our client did not charged vat to its clients on fruit juice, neither it was paid at the time of import. After 3 years of business, got a bill of import vat of £60k. Difficult to pay straight away. I have got 2 questions. 1) Can this import vat be claimed back? 2) Client did not charge vat. How to go about Output vat charge?
Submitted: 1 year ago.
Category: Tax
Expert:  Sam replied 1 year ago.
Hi Thanks for your question - I am Sam and I am one of the UK tax experts here on Just Answer. This charge can certainly be taken into account as VAT suffered - but as you did not go on to charge the customer VAT - but should have then you need to amend the VAT returns to pay the additional charge your client should have collected on the sale (if they are VAT registered which you do not indicate) If VAT registered then I would suggest in view of the time limit - that you write to HMRC VAT re this position and if your client was/is not VAT registered then I would consider whether this is a viable option overall. And then establish whether you backdate just before the date of this bill OR back to the last 3 years - which again you would need to discuss with HMRC VAT Let me know if I can assist further Thanks Sam
Customer: replied 1 year ago.
the client was registered for vat since 2007. Not very clear of charging the output element of vat. what about this debt arrangement. Can it be spread over a period of 3 years. can they agree on this.
Expert:  Sam replied 1 year ago.
Hi Thanks for your response So why did they not charge VAT? As this is Vatable supply??? Did they not account for the VAT charge (Input) on the VAT returns - If not how was this missed ?And HMRC will not accept a 3 years payment plan - at best 1 year but I imagine they will try and bring this down to 6 months - Thanks Sam

Related Tax Questions