Businesses have one month left to avoid VAT penalty

Northern Ireland businesses which should be registered for VAT, but aren’t, have just four weeks to do so to avoid having to pay a substantial financial penalty.

Businesses which are VAT registered, and whose taxable turnover is more than £56,000, are being urged to register before the 30th September. This helps Customs work out when they should have been registered ensuring they do not have to pay a Belated Notification Penalty.

Jim Maclean, Customs’ Head of Business Services and Taxes in Northern Ireland said:

“The number of businesses that have come forward, since the scheme was launched on 10th April, has been very encouraging with each business saving themselves on average over £1,000 in penalties.

“Businesses that have not yet come forward need to act quickly as they now only have four weeks left to register voluntarily for VAT.”

After 30th September Business Services and Taxes in Northern Ireland are set to clamp down hard on those who have chosen not to take up this opportunity.

“Customs wants to make it easier and cheaper for Northern Ireland businesses to meet their tax obligations and create a level playing field on which all compliant businesses can compete," Mr Maclean added.

Companies who think they should be registered for VAT and want to take advantage of the last four weeks of this scheme can contact the Customs and Excise National Advice Service on 0845 010 9000 or visit the Customs website www.hmce.gov.

(MB)