A taxpayer has not submitted VAT returns from 2015- 2019. Please advise on the following: 1) Do they qualify for the VDP? Or is this application not an option because SARS may already be aware of outstanding VAT returns? 2) What is the best process to follow
Important:
This answer is based on tax law year ending 28 February 2021.
Answer:
The submission of a VAT return is a legal obligation, i.e. not voluntary. The VDP cannot therefore be used to submit outstanding returns. The VAT returns must be submitted. You may have a case to have penalties reversed, but it’s unlikely that you will be successful to have interest waived.