VAT Inspection location

VAT Inspection location

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My client has been informed that a VAT inspection is to take place. Does this have to be at the client's premises? All the documents are at my office, which is 120 miles from the client's VAT address and I am clearly in a better position to answer most questions that may arise. HMRC has suggested to the client that the inspection has to be at his premises.

Anyone know?

Replies (7)

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By johngroganjga
06th Jun 2013 15:38

No experience of this situation but the inspectors might want to interview your client about his procedures as well as inspect his records.  Surely just explain the position to HMRC and take it from there. You will have to decide whether you want to be present when HMRC interview your client, or inspect his records, or both. 

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By neiltonks
06th Jun 2013 15:46

Not necessarily

HMRC guidance at http://www.hmrc.gov.uk/vat/managing/problems/vat-visits.htm#3 says:

Where the VAT officer will want to visit

VAT officers normally visit you at your main place of business. This allows them to:

get a better understanding of your businessanswer any queries you havecheck your records with as little disruption as possible

If you do not keep your VAT records at your main place of business, you should tell HMRC when they make the appointment for the visit. The VAT officer can then tell you which records they need to see, or agree to examine them somewhere else. Even if the VAT officer examines your records in a different place, they may still want to visit you at your main place of business to discuss your business and see your premises. This won't always be necessary - if, for example, your principal place of business is your home, and your work is that of a computer consultant or similar, the VAT officer may agree to meet you at your accountant's premises instead.

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By claudialowe
06th Jun 2013 15:46

Similar............

I had a similar situation a few years back, but the distance was only 20 miles.  We met at the client's premises - the Inspector wanted to have a look at the premises, the systems that they held in place - I can understand this - does the declared turnover match the outfit?  After about 30 mins, he and I came back to my office, and he started doing the inspection "proper".  2 hours later he was done and client got a clean bill of health, and was more than happy to pay my bill :-)

 

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By Moonbeam
06th Jun 2013 15:47

I have experience of this situation

Client is located about 30 miles away, but like you I have all his paperwork.

I asked VAT office if inspection could be at my premises with client present for the initial questions.

VAT people happy to oblige. I think you would have to get client to agree to be present, at least initially.

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By Arbitrary
06th Jun 2013 16:47

VAT Inspection

Thank you for all your suggestions. The problem I suspect is going to be the distance of 120 miles. My client however does operate from his home. I shall phone the VAT office and see what I can achieve.

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By Arbitrary
06th Jun 2013 17:11

VAT inspection

Turned out to be easy.

HMRC are simply turning it over to Cumbria VAT people to arrange the visit at my office. They do however insist quite reasonably on the client being present at the start which is a bit of  a pain for him.

Thanks again to all.

 

 

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By Andrew288
06th Jun 2013 21:41

Identification
On a first return with a refund investigation were advised that the work could be done in our office. Only 34 pieces of paper were involved so it was short. The inspector insisted on seeing the client on his premises, the registered address, which we were happy for him to do. No positive ID was done on the client personally though.

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