Client had a large repayment claim and is now subject to a VAT inspection. I am agent for individual directors, previous partnership and for corporation tax but not for VAT.
Client is a company of builders, genuine people but not the sharpest tools in the box. That said, they had precise records for all VAT returns when I reviewed the VAT as part of the annual accounts. Engagement letter says I will tell them of any errors I see in the course of other work but that I will not do a review of VAT.
Anyway, they emailed me and said they have a visit on Monday due to the large repayment claim. I am not their VAT agent but would like to attend the meeting as they are the sort that could potentially drop themselves in it unwittingly and give the impression they are less organised than they actually are. I do not expect for there to be any significant errors in the return, and they have asked me to look through it before then.
As long as I am there with them and they give their permission, I assume that I can speak on their behalf? Any advice please? I have not dealt with VAT inspections before, just SA ones.
Thanks
Replies (6)
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VAT inspection
The Client can have anyone present at the meeting with HMRC. They should make it clear that you are acting on their behalf, and that you can answer questions about the business, record keeping, etc.
(I would be very surprised if the HMRC Officer objects to this.)
You could always ....
... take a 64-8 with you and if they cut up get client to sign, you can always ask for it back and tear it up after the meeting!
VAT inspection
I agree with Les and the visit will be very quick if they are only verifying a repayment claim as long as you have all in the information to hand. Quickest I have had is 5 minutes as everyyting was available to inspect as well as reasons for the repayment.
no cut off
It is all based on risk assessment and computer generated but any significant reclaim outside of the norm can trigger a query. Looks like they need reassuring project was Zero rated.