DMBM875630 - RLS: action in Tracing Group: customer traced - assurance visits

The majority of this manual will be archived on 1 July 2024. If there is content within this manual you use regularly, email hmrcmanualsteam@hmrc.gov.uk to let us know.

Where a trader with a poor compliance history is traced and there is perceived to be a potential loss of revenue

  • consider an assurance visit to determine the tax outstanding
  • refer the case to the appropriate SIFT team for consideration.

During the visit the assurance officer will

  • remind the trader of the requirement of the Value Added Tax Regulations 1995 that
  • all traders must notify within 30 days a change of address and
  • they are liable to a penalty (VATA 1994 s69) should they fail to do so.
  • establish whether the customer should still be registered.

If the customer should no longer be registered and but you have not cancelled the registration, you should determine the effective date of cancellation.

If the customer is unable to complete a VAT 7 form Application for Deregistration a VAT 30 should be completed as deregistration code 1 (ceased to trade) to effect the compulsory deregistration of the VAT Registration Number.