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Retrospective VAT Query

Retrospective VAT Query

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A company applies for VAT FRS and has it backdated to April 2014.  VAT certificate provided to company at August 2015 when the company was registered for VAT and VAT paid at 20% from that time.  Company contacts client and advises payment of VAT should be backdated to April 2014.  

Is there an obligation to pay retrospective VAT in this instance?  I was under the impression that FRS can usually be backdated by 3 months and that invoices already issued if not noted with VAT applied for would largely be ignored.  My VAT knowledge is a little sketchy in this area so any comments most appreciated.

Many thanks

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By Les Howard
01st Dec 2015 17:45

Back dated registration

HMRC often allow the FRS application to take effect from the date of registration, but this is by concession. If customers are in business, it may be possible to re-invoice for the VAT element alone, to mitigate the costs of back-dated VAT.

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By Matrix
01st Dec 2015 18:24


If your client is unable to recover the VAT then they should not pay the VAT only invoice.

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