We were asked recently to review the business and partial exemption VAT calculations for an NHS Trust which had received VAT assessments in excess of £2m from HM Revenue & Customs.
The Trust’s business and partial exemption calculations had been calculated by another adviser, but HMRC disputed the calculations, which eventually led them to raise the large assessment.
After a detailed review of the income and expenditure of the Trust over the periods in question, we were able to agree calculations with HMRC which reduced the assessments to a figure below £160K.