Date of claim

The taxpayer company was late submitting VAT returns and payments of tax for the periods ended 9/11 and 12/11. HMRC imposed default surcharges.

The firm had submitted an amendment in November of that year saying the tax for 9/11 and subsequent surcharge should be reduced as the result of an overpayment for an earlier period.

The business later claimed it had a reasonable excuse for the late return for 12/11 because of confusing calculations received from the Revenue.

The First-tier Tribunal agreed that the 9/11 surcharge should have been calculated on the lower amount of tax. The taxpayer’s letter claiming the overpayment constituted a claim for the purposes of VATA 1994 s 80 although the taxman was correct to investigate its validity.

With regard to the 12/11 appeal the tribunal agreed the documents sent by HMRC had been ambiguous and led to confusion which a...