Next steps — correcting errors and guidance (part 10)
Updated 25 September 2024
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This publication is available at https://www.gov.uk/government/publications/help-with-vat-compliance-controls-guidelines-for-compliance-gfc8/next-steps-correcting-errors-and-guidance-part-10
Correcting an error
Your business may recognise new elements of good practice after you have read these guidelines. Implementing these can lead to improvements in your systems and processes.
Improved systems and processes might also lead to you identifying that you’ve underpaid VAT in the past.
To correct a submitted VAT return, you’ll need to read the section correcting VAT errors on a return already submitted in How to correct VAT errors and make adjustments or claims (VAT Notice 700/45).
When correcting a VAT return because of the information in these guidelines, you should enter the reference number ‘GfC8’ in the reason for error box.
Where customers fail to meet their obligations, they may be subject to:
- penalties
- interest
- both
If you think you may have failed to meet your obligations, read the HMRC compliance factsheets on penalties to find out about:
- penalties HMRC may charge
- when these penalties may apply
Further questions
If you have any further questions or feedback after reading these Guidelines for Compliance you can contact us by email: ccgguidelinesforcompliance@hmrc.gov.uk.
You should include the Guidelines for Compliance reference number ‘GfC8’ in the subject line. If you have a Customer Compliance Manager (CCM) you should copy them into the email.
Sending information by email carries certain risks. HMRC will assume that by sending information by email you understand and accept these risks.
Legislation and guidance
The main sources of available legislation and guidance referenced in these guidelines and on related subjects include:
- The Value Added Tax Regulations 1995
- VAT guide (VAT Notice 700)
- How to fill in and submit your VAT Return (VAT Notice 700/12)
- Overview of Making Tax Digital
- Record keeping (VAT Notice 700/21)
- VAT Notice 700/22: Making Tax Digital for VAT
- Relief from VAT on bad debts (VAT Notice 700/18)
- How to correct VAT errors and make adjustments or claims (VAT Notice 700/45)
- Self-billing (VAT Notice 700/62)
- Motoring expenses (VAT Notice 700/64)
- Business entertainment (VAT Notice 700/65)
- Partial exemption (VAT Notice 706)
- Capital Goods Scheme (VAT Notice 706/2)
- VIT43940 — Specific issues: mobile phones — HMRC internal manual
- Transactions in foreign currencies and VAT
- VAT Reverse Charge — HMRC internal manual