Lack of familiarity with the internet

Change in flat scheme percentage rate

The taxpayer an estate agent had operated the flat rate scheme using the 11% rate for estate agents since July 2006.

HMRC changed the rates when the VAT main rate increased from 17.5% to 20% in January 2011. The new rate for estate agents rose to 12%. But the taxpayer continued to use the 11% rate until an HMRC VAT compliance visit in 2015 identified the error. The officer issued an assessment for £3 420 plus interest for the period from June 2011 to December 2014. The taxpayer appealed saying HMRC should have notified him in writing of the increase.

HMRC said the revised scheme rates were published on its website and the taxpayer would also have received a copy of VAT Notes advising of the changes. The taxpayer said he did not use computers and therefore would not have seen the changes...