VAEC3550 - Circumstances that affect assessments: dissolved traders

The procedural guidance in this manual only covers the VAT Mainframe and VISION processes. For guidance on the Making Tax Digital and ETMP processes for fully migrated customers, see VAEC0200 and the Making Tax Digital for VAT compliance toolkit.

Although legislation does not make it clear that an assessment made in respect of a company that did exist but no longer exists is invalid, it is certainly to no avail.

Assessments are generally made to establish a debt that can be pursued as a debt due to the Crown, so that HMRC can recover tax, duty, interest, penalties, etc.

This is unlikely in the case of a dissolved company. Consider whether it is cost effective to reinstate a dissolved company in order to make an assessment and establish a debt for collection.

In most cases it is unlikely that reinstatement would be cost effective.

In exceptional circumstances, where for example assets are identified that would make it worthwhile to raise an assessment, it may be possible to reinstate a dissolved company in such a case you should refer to Insolvency Profession - Dissolution and restoration .

Any assessment raised would need to follow the manual procedures at VAEC3560.