Successful recovery of VAT following corrections in calculation errors
Our expert litigation team recently recovered £1 million of VAT on behalf of a European-based e-commerce company.
The company, which sells household goods across Europe, identified discrepancies in its VAT calculations and contacted our litigation team to assist them in recovering the overpaid VAT from Her Majesty’s Revenue and Customs (HMRC).
The discrepancies were initially discovered when the company noticed variations between the sales data obtained from their finance software and the data exported directly from their e-commerce platform. Additionally, there was an oversight in including VAT calculations for orders shipped from the company’s European warehouse to the UK, which has since been corrected. One key aspect of the correction involved the clarification of wholesale prices in the company’s records. The wholesale price, initially recorded as the price per unit for a specific Stock Keeping Unit (SKU), needed adjustment for orders where customers purchased multiple units of the same SKU.
As a result of our legal advice, corrective actions and communications with HMRC, we successfully recovered over £1 million in overpaid VAT for our client.
Our litigation team brings a wealth of expertise in efficiently navigating VAT disputes, drawing on their extensive knowledge of VAT laws and procedures to effectively resolve issues. Acting for a wide range of businesses, including those engaged in importing and exporting goods within the UK, we assist clients in understanding the implications of tax assessments and penalties, in order to mitigate liability effectively and thrive in the intricate world of international trade.
If you have a VAT dispute, seeking advice at the earliest opportunity is highly recommended. To book an appointment, please contact Peter Hastings, Director and VAT dispute specialist by emailing ph@rogers-norton.co.uk
*This article is provided for general information purposes only and does not constitute legal or any other professional advice.