S3TAX prepares and supports clients through HMRC VAT inspection

S3TAX, the housing and third-sector tax specialists, provides a wide range of taxation services including assistance with an HMRC VAT inspection.

Recently, S3TAX was approached by a housing association client that had received notice from HMRC that it would be subject to a VAT inspection.

Due to the complexity of VAT accounting in the housing sector, the client contacted S3TAX asking for support with preparation and attendance for the visit.

This is something that the consultants at S3TAX have provided on many occasions to a variety of different organisations.

Preparation for an HMRC inspection

The team at S3TAX was able to use their experience of other recent visits to prepare the client effectively for the inspection. When HMRC attended, there were no surprise questions or issues raised.

This ensured that HMRC’s questions were answered confidently providing the necessary assurance and reducing the amount of follow-up correspondence required.

The S3TAX consultants embedded themselves in the preparation process working alongside the internal finance team. This enabled S3TAX to liaise in detail on technical issues at the visit so that the client didn’t have to resolve complex technical issues raised by HMRC. S3TAX also sought favourable agreements from HMRC on common issues faced by the housing sector and ensured that these were captured in follow-up correspondence.

S3TAX is now supporting the client with the follow-up work and will subsequently seek to defend the client from any penalties that HMRC may seek to raise.

HMRC VAT inspection areas of focus

This experience provided S3TAX with the latest insight into the HMRC’s current areas of focus when it comes to the housing sector. S3TAX is now able to better assist housing associations in preparing for HMRC VAT inspections.

If you are facing an upcoming HMRC VAT inspection, S3TAX can help. We can prepare you for the inspection, and attend the inspection with you.

Contact S3TAX today to learn more about how we can help you.

A better approach…..

Rather than waiting for HMRC to come knocking on your door, you should consider allowing S3TAX to carry out a simulated HMRC VAT visit. This will give you the comfort that you are VAT compliant and fully prepared well in advance of any actual HMRC visit. Such proactivity also provides a much more robust defence in relation to any penalties.

A bonus – S3TAX will also search for any VAT opportunities that you are currently missing e.g. VAT reliefs available on expenditure. We usually find savings for our clients in areas that HMRC don’t focus on.