This guidance covers all VAT civil penalties that were in force before the introduction of penalties for inaccuracies under FA07/SCH24, see CH80000+ and penalties for failure to notify and VAT wrongdoings under FA08/SCH41, see CH70000+ and CH90000+.
This guidance and the Compliance Handbook (CH) will help you to decide in what circumstances a civil penalty is appropriate.
The guidance in the Compliance Handbook applies:
to Inaccuracies where
- the inaccuracy is contained in (or the under-assessment relates to) a return or other document which is due to be filed on or after 1 April 2009, and
- the return or other document (or under-assessment) relates to a tax period beginning on or after 1 April 2008.
- the commencement dates are different for claims under the 8th and 13th Council Directive, see CH81012
- to failure to notify where the obligation arises after 1 April 2010
- to VAT wrongdoings where the wrongdoing takes place on or after 1 April 2010
This manual also covers circumstances in which HMRC is liable to pay interest, that is, payment of repayment supplement.