CH143060 - Interest: Late payment interest: Special provisions: Special provisions for start dates: Recovery of VAT

You must check whether, and from which date, the FA 2009 interest rules apply to the tax or duty you are dealing with. See CH140160 for full details.

A special provision changes the general rule, see CH141120, when HMRC makes certain assessments to recover from a person amounts in respect of VAT that have been paid or credited, but are later found not to be due or are excessive.

The special provision applies where an amount is recoverable from a person under the following provisions of the Value Added Tax Act 1994:

• section 73(9) in respect of an assessment under section 73(2). This concerns amounts that ought not to have been paid or credited for a VAT period.
• section 80C (1) in respect of an assessment under:

• section 80(4A). This concerns specified amounts credited under s80(1) or s80(1A) where HMRC was not liable to credit it.
• section 80B (1). This concerns assessments of amounts due under section 80A (arrangements for reimbursing customers).

As a result of this special provision, the late payment interest start date is the date on which HMRC paid or credited the amount to that person (but no earlier than 15 March 2023).

FA09/SCH53/PARA11ZA

FA21/S33(3)