HMRC has withdrawn Form 652. How should you notify VAT errors going forward?
Form VAT 652 was previously used to notify HMRC of errors in VAT returns but has now been withdrawn from September 2025. The form was used for voluntary disclosures of VAT errors that exceeded certain thresholds or couldn't be corrected on the next VAT return. Businesses must now report VAT errors online or by letter to HMRC's VAT Error Correction Team, providing the same information that would have been included on the withdrawn form.
Remember, if the net tax owed or owing is less than £10,000, the errors can be corrected on your next return. For larger businesses, they can also be included on the next return if the tax owed is less than £50,000 and less than 1% of the Box 6 outputs figure for the period when the correction is being made. This is the simplest method, so check whether you can do this in the first instance.
Related Topics
-
Should you voluntarily payroll benefits in kind?
The window to sign up to voluntarily payroll non-mandatory benefits in kind for 2027/28 will open in November. Is it worth volunteering to pay HMRC earlier than required or should you wait until it becomes mandatory in 2028/29?
-
Wise tax statement errors could affect 4,000 customers
Around 4,000 UK customers of financial services provider Wise have been told that tax statements issued between 2021 and 2025 contained incorrect figures. The errors could have resulted in taxpayers paying too much or too little income tax and capital gains tax (CGT). What should affected customers check?
-
CT61