Overdue VAT, National Insurance and wrong address. Please help

djobugoo

Hello all,

I have ran into some trouble with the HMRC, I really need some quick advice but getting that from the HMRC seems pretty hard, if anyone on here could help me that would be great!

Last year I wanted to start a business. I registered for self employed, I registered for VAT and I registered a business address at an office as I could not register my rented property.

I'm ashamed to say it, but when my business didn't miraculously take off, I gave it up without making a penny. I cancelled my registration for the business address and left it at that.

Before I cancelled the business address I got a letter about an amount of VAT owed, I sent HMRC an email saying that I had not traded and I wanted to cancel my registration and I could not recieve mail from that address, I got a pretty confusing response and in the end I just paid the VAT (I know I'm stupid).

This month I recieved a letter saying I need to pay £101 NI contributiions and today I got a call from a debt collection agency asking about money for VAT. I explained I was unaware of the situation and I have been given two weeks to sort it out with HMRC before I need to pay it.

I tried ringing the 0300 HMRC helpline but I didn't get past the robots before giving up. If anyone could point me in the right direction for what forms to fill in or how to get some useful information from the HMRC quickly it would be great. I need to change my address so I recieve mail where I currently live, dispute VAT and dispute NI.

Can I dispute it or do I just need to pay the money? If that is the case if someone could help me with what forms to fill in to cancel registrations that would be great.

I any advice would be greatly appreciated, thanks!

agrinnall

I can't say that I really understand what you've done and why, but I can tell you that to get to speak to someone at HMRC you should ring early in the morning, 08:00 or perhaps even a little earlier.

djobugoo

Sorry for not being clearer, I think I have put myself in an awkward confusing situation. I will ring them first thing Monday.

JasonLVC

If you never traded how did you owe HMRC VAT?

Once registered for VAT you have to submit a VAT return every three months, when you don't do that, HMRC will estimate what you owe and assess you for that. Even if you then cancel your registration later, you still need to submit the returns you forgot to submit or else the VAT debt is still on the system.

Unless you got a letter confirming your registration was cancelled, you may not actually have deregistered and each Qtr you clock up another VAT estimated VAT liability and it may be this the debtors are chasing.

sheramber

how to cancel VAT registration

https://www.gov.uk/vat-registration/cancel-registration

How to cancel

You can apply to cancel your VAT registration:

online - through your VAT online account
by post - using form VAT7

You must do this within 30 days of your reason for cancelling the registration or you may be charged a penalty.
What happens next

It usually takes 3 weeks for HMRC to confirm your de-registration and the official de-registration date. This is either the date when the reason for your cancellation took effect (eg when you stopped trading), or the date you asked to de-register if it’s voluntary.

HMRC will send confirmation to your VAT online account (or through the post if you don’t apply online). From the date of de-registration you must stop charging VAT and keep your VAT records for 6 years.

VAT after you cancel

You’ll have to submit a final VAT Return for the period up to and including the de-registration date. You must account for any stock and other assets you have on this date if:

you could reclaim VAT when you bought them
the total VAT due on these assets is over £1,000

Don’t wait until you’ve received all your invoices before submitting your final return. You’ll still be able to reclaim VAT on anything you bought for your business while still registered once you get the invoices.

VAT helpdesk
https://www.gov.uk/government/organisations/hm-revenue-customs/contact/vat-online-services-helpdesk