VAT: Group registration delays

Jason Croke

HMRC recently confirmed with ICAEW that there are significant delays in processing VAT group applications. Jason Croke looks at the practical issues.

28th Jan 2022

3 comments

Jason Croke

VAT Director

Rayner Essex

Share this content

Throughout January 2022 HMRC has been dealing with VAT group applications received in July 2021. There was no indication as to how quickly the backlog is being dealt with, but HMRC has noted previously that the aim is to clear all backlogs by the end of March 2022.

VAT Groups
VAT grouping is a method in which two or more eligible persons can be treated as a single taxable person for VAT purposes. Eligible persons are bodies corporate (limited companies, LLPs), individuals, partnerships and Scottish partnerships, provided that certain conditions are satisfied. The main conditions are that each eligible person is established in the UK and that they are under common control.

Register for free to continue reading

It’s 100% free and provides unlimited access to the latest accounting news, advice and insight every day. As well as access to this exclusive article, you can:

View all AccountingWEB content

Comment on articles

Watch our digital shows and more

Access content now

Already have an account? Log in here

Tags:

HMRC
VAT

Share this content

You might also be interested in

Jason Croke

VAT Director

Rayner Essex

Jason has over 20 years’ experience working exclusively in indirect taxes (VAT, import duty, SDLT) with owner-managed businesses, corporates and not for profit sectors. He particularly enjoys challenging HMRC decisions, representing clients in tribunals or during inspections.

Experience includes land and property, partial exemption and...

Replies (3)

Please login or register to join the discussion.

By D V Fields

28th Jan 2022 19:08

When you say that “HMRC’s guidance is clear” on what basis do you make that claim please?

The guidance at 2.18 suggest that if your application is rejected but you had submitted returns as though a member had joined then this would need to be corrected. The guidance also refers to “provisionally being treated as a member of a VAT Group” although I have not seen the criterion for this, but might presume it means “applied and waiting to hear.”

These sentences seem to suggest otherwise. I have a situation coming up where the long delayed approval (well over 90 days) is about to hit home! Therefore interested in your source.

Thanks (0)