New client has come to me and whilst preparing their accounts it shows they exceeded the vat threshold last year. They only just went over (£86k) but then hovered around the £88k-£90k region, so no "blip". They thought turnover was as per the accounts, not rolling 12 months. In addition, they lost their mother last year and had twins(!) and it all got too much for them and they lost track.
They understand the need to register and have told me to do it the right way and they'll take a loan to pay the back VAT fines etc.
In the circumstances, would you just register as usual, putting correct dates etc and then wait for the penalty letter to come, then try to mitigate; or would you contact HMRC VAT separately in addition to the usual Registration for VAT online?
I've never had this before (such a late registration). Many thanks in advance.