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HMRC internal manual

VAT Civil Penalties

From
HM Revenue & Customs
Updated
, see all updates

Incorrect certificates to zero-rating and lower rate supplies: Discretion, reasonable excuse and mitigation: Reasonable excuse

Many penalties have a reasonable excuse condition and where a reasonable excuse exists there is no liability to a penalty.

A lack of funds to pay any VAT due or reliance placed on a third party to perform any task, are not considered reasonable excuses in law.