The voluntary disclosure program offers relief against VAT late payment penalties, VAT understatement penalties and VAT criminal prosecution. For VDP applications on VAT, accurately identifying the default, correctly quantifying the exposure, correctly completing the VDP application form and correctly remedying the non-compliance through VDP is of absolute crucial importance as a mistake in one period may jeopardise the entire application.
VDP applications on VAT also brings unique challenges such as issues with refunds on certain periods and liabilities on others and correctly identifying the behaviour giving rise to the default to ensure the VDP agreement correctly reflects the relevant law.
Having an expert on VAT law and VDP regulations is a necessity when considering a VDP application in respect of a VAT default.