Share this content
1

VAT deregistration - final return questions

Client is on cash accounting basis, has made refunds after deregistration date

Didn't find your answer?

Client runs mother/baby classes and degregistered in April, we're now finalising their final return. They use the VAT cash accounting basis and receive payments in advance for 10 week block bookings. Due to covid the classes are currently on hold. Two scenarios:-

After the deregistration date they have made several repayments to customers - the income was included within their vat return to 31 March 2020, vat declared and paid - am I correct to claim this vat back?

They have a number of customers who paid in advance, income was included within their vat return to 31 March 2020. As the classes will be provided after deregistration (or possibly more refunds to be made), should we be reclaiming this vat back too? Class fees are not reducing post-deregistration, they didn't increase when they registered a few years ago if that matters.

Grateful for any advice.

 

 

Replies (1)

Please login or register to join the discussion.

avatar
By PandoraSleeps
08th Jul 2020 12:56

In respect of scenario 1 check the VAT guide (notice 700) section 18.2.8.

In respect of scenario 2, think about what has triggered your tax point date?

Thanks (0)
Share this content

Related posts