Auditors of an animal welfare charity identified an historic VAT accounting issue, suggesting an exposure of £120k be disclosed to HMRC. We reviewed the accounts and documentation, and determined that although there was liability there were facts and case law that hadn’t been taken into consideration.
Our expertise and knowledge in this sector identified that the true liability was £45K. By seeking a second opinion from us, of their auditor’s assessment, the charity saved £75k without any meaningful impact on the income stream, the charity or its supporters.
An audit does not have the aim of “signing off” the VAT position. A well performed Audit can still miss significant technical VAT issues. Talk to us now if you are worried about your organisation’s VAT accounting or would like us to carry out a specialist review of you VAT position.