HMRC is changing its approach to innaccuracy penalties for cases where HMRC intervened to correct an inaccuracy before the next return was received, preventing the inaccuracy from being reversed. When HMRC are satisfied that, but for their intervention, the inaccuracy would have been automatically corrected in a subsequent return, customers will receive a reduced penalty.
If you have been penalised because HMRC picked up an error on a visit before you were able to correct it on the next return you should review the position.
More information is available in HMRC's Brief at http://www.hmrc.gov.uk/briefs/vat/brief1511.htm
