K D Media Publishing Ltd v Revenue & Customs (VAT - ADMINISTRATION : Accounting and payment)

VALUE ADDED TAX � default surcharge � can VAT credit under s 80 Value Added Tax Act 1994 be set against VAT for earlier periods which has already been paid � no � is a mistaken overpayment of VAT a reasonable excuse for late payment of VAT in respect of a subsequent VAT period � no � appeal dismissed

Miss Olivia Donovan, Presenting Officer of HM Revenue & Customs for the Respondents

The appellant, K D Media Publishing Limited (�K D Media�) is a magazine publishing company.� It was set up in 2009 around the time of the global financial crisis.� Partly as a result of this, it has always had cashflow problems and has consistently been late in paying its VAT, incurring VAT default surcharges for most VAT periods.

In February 2017, K D Media discovered that it had paid too much VAT for the 11/15 VAT period.� HMRC accepted this, adjusted the VAT due for that period and also reduced the default surcharge for the 11/15 period as a result of the reduced VAT liability.

With the consent of both parties, on 13 June 2018 the Tribunal issued a decision which did not include summary or full findings of fact and reasons for the decision.� K D Media has now requested a decision containing full findings of fact and reasons for the decision.