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VAT Audits for UK businesses

We make sure your company is compliant with all HMRC regulations to minimise any debts

VAT Audits for UK businesses

How to get your UK VAT Audit Report

  1. Get an instant quote from us

    Get an instant quote from us

    Talk to our VAT experts and provide basic documents to get a quote based on your company’s yearly revenue

  2. Submit your documents

    Submit your documents

    After confirming the audit engagement, we collect your documents via the Osome app

  3. Audit process starts

    Audit process starts

    We process your company audit and review your financial documents within the required timeline

  4. We deliver your case study

    We deliver your case study

    Our auditor prepares your audit report, this includes a risk assessment and our recommendations. We also arrange tax reporting for your business.

The VAT Audit process

What is a VAT Audit?

What is a VAT Audit?

VAT auditing is how we assess your VAT compliance. The audit ensures three things: whether you are paying the correct amount to HMRC, that you pay on time, and you don’t miss the fine details required to stay compliant.

Why do I need a VAT audit?

Why do I need a VAT audit?

Calculating VAT is tricky. Especially when you have to do it alone. And if you submit your VAT returns late or incorrectly, you risk paying a huge penalty or fine.

HMRC routinely conducts VAT compliance checks. During an HMRC check, compliance officers will inspect your VAT records. A VAT audit ensures your records are in order.

Compliance check

What to expect?
What to expect?

HMRC compliance officers audit the records of all VAT registered businesses in the UK to check that they are filing taxes in accordance with the law.

They ensure:

  • you’re paying the right amount of tax, at the right time
  • you’re claiming the right allowances and tax reliefs
  • you’re not evading any tax owed

These checks are routine and random. Or if you have a record for making errors, the frequency of these checks may increase.

HMRC can check any VAT registered business for tax return compliance. It's vital to be prepared.

Your HMRC VAT compliance checklist

The following things should be kept in mind for VAT Audit in the UK:

Sale and Purchase Invoice requirements

You must produce an invoice including particular information needed by HMRC whenever you make sales that are When asked, you must produce an invoice detailing any particular transaction included in a VAT return. Sales invoices should include the date and time of the sale, the value of the transaction, the invoice number and the amount of VAT included in the sale. You must also supply information on the services or items provided, including your customer’s name and address.

Your HMRC VAT compliance checklist

Accuracy of Bank Account Statements

You must account for purchases, sales and operational expenditure in your cash and bank account records. An HMRC compliance officer may wish to see these records. Any discrepancies between your bank statements and your VAT return may prompt a more extensive enquiry.

Record of Previous VAT Returns

As a general rule, VAT registered businesses usually submit returns quarterly. Records relevant to each filing must be kept and made available for inspection by HMRC. Usually, an HMRC compliance officer will check your most recent VAT return and returns from the preceding 12 months. Anything unusual will be subject to closer review.

Stay compliant with an Osome VAT Audit

Our VAT experts will give your records a complete review to ensure you comply with VAT regulations. We examine your company accounts to ensure the cash flow coming in and going out of your business is consistent with your financial records. We do a full review of the following financial documents to check the accuracy of VAT declarations and the sums you have paid:

  • Purchase invoices
  • Sales invoices
  • Import and export documents
  • The accuracy of VAT declarations.

You then receive a case study and a risk assessment detailing the results of your VAT audit, including any recommendations for your business. Your Osome adviser can walk you through this and go into further detail.

Stay compliant with an Osome VAT Audit
VAT Audits, simplified

VAT Audits, simplified

Throughout the process we handle all the admin and paperwork, an Osome VAT expert will provide advice every stage to keep you informed. This is all included in one flat fee, no need to worry about any extra charges out of the blue.

Osome VAT experts conduct a detailed analysis and highlight key problems with your VAT documents. We send you our study and recommendations to ensure your records are up to date, and we’re always on hand to answer any questions you may have.

Audit Pricing

Our audit pricing is generally based on your company’s yearly revenue. Pricing may vary depending on factors such as the business industry, primary activities or special requirements. To ensure you get a more accurate quotation tailored to your company, speak to our experts.

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  • How to File a VAT Audit Report Online?

    VAT Auditing is a process used by the National Bureau of Revenue (NBR) to assess a taxable person's overall adherence with VAT regulations, and verify that the net amount of VAT stated and the amount paid by the taxable person, are consistent with their accounts.

    The NBR can audit VAT returns using the Audit File. This offers information on the base amount and calculated tax amount, as well as line-level data of the taxable transactions in chronological order. The invoice number, date, client/supplier name, VAT amount, and invoice amount (inclusive and exclusive of tax, etc.) are all included in the Audit File.

    To compile an audit report, you need to compile the company’s financial data in a Content Separated Value (CSV) format, including invoice numbers and dates, client/supplier names, VAT payments, and invoice amounts. Osome makes it easy to generate your VAT Audit Report automatically.

  • What is a VAT Audit?

    VAT stands for Value Added Tax, and was first introduced in the UK in 1973. It is a tax charged on the purchase price of some products, services, or other items purchased and sold in the United Kingdom. It is similar to the European Union's VAT system.

    A VAT diagnostic, more often known as a VAT Audit, examines the product and invoice flow, to assure compliance. The audit may also include an in-depth thorough analysis of the company's financial records in order to review and compare purchase and sales ledger movements. A VAT audit can reduce the possibility of a tax audit, and if you don’t understand your company’s VAT obligations, this can become a significant financial risk if you do not submit your VAT documents correctly, or if these documents are not compliant with current regulations.

  • What is a VAT Audit Report?

    A tax audit is a thorough examination of your tax returns to ensure that you are paying the right amount to HM Revenue and Customs (HMRC). The goal of a tax audit is to validate the calculation of the taxpayer's Income Tax obligations outlined in their Income Tax Return, and through this process, guarantee that Income Tax regulations are followed.

    The details of each item in the Purchase and Sales invoices are shown in the VAT Audit Report for a specific time period. A VAT Audit Report includes a thorough examination of all supporting financial documents, verification of VAT declarations, risk assessment, and the auditor's recommendations.

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