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VAT Winding up order issued – in error

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    VAT Winding up order issued – in error

    More importantly - the damm costs !!!

    I need some advice here – all is welcome. I was late paying (for the second time) my Q2 05/06 VAT – this I paid in full on 19th August which would make it just 20 days late. However on the 2nd September a Solicitor (acting for Revenue and Customs) arrived at my house and issued a winding up petition against my LTD company - as you can imagine I end3ed up taking two days off work in order to confirm that the petition was issued in error and that all outstanding moneys had been paid.

    Imagine my surprise when this morning (on a Saturday – typical) I find out that the court action has not been cancelled and the solicitor is now trying to reclaim £414.73 in fees. Moreover the hearing is in Bristol on the 19th Oct (5 days notice) which means that I have to take another day off work.

    Breakdown of fees

    Initial letter Fee 5.58
    Schedule Fee 27.91
    Company Search Fee 14.10
    Court Fee 190.00
    Solicitors fee for prep of Petition 94.88
    Process Servers Fee 41.13
    1st Hearing Fee 41.13

    Basically I have no choice but to attend on Wednesday to argue my case– I feel that I am being bullied into these fees – which I refuse to pay.

    In summary :-

    All outstanding VAT paid 19th August (date moneys left my account)
    Petition issued 2nd September

    Overall I now plan to claim for loss or earnings my self – so far I have lost two days work dealing with the initial petition and a further day attending the hearing – also the numerous phone calls and letter – all of which I have recorded.

    So am I stuffed and do you think that I will have to pay the fees or do I have a case to reclaim my fees?

    All advice welcome.
    www.stormtrack.co.uk - My Stormchasing website.

    #2
    "Overall I now plan to claim for loss or earnings my self – so far I have lost two days work dealing with the initial petition and a further day attending the hearing" - Yeh No Chance.

    There are two people you dont mess with Customs & Excise and Customs & Excise. Oh if I didnt mention it, Customs & Excise.

    Otherwise where you can be late filing your accounts or paying your tax (the odd £100 fine), when it comes to the VAT there are things you that need to do and dont do.

    a) Pay it on time
    and
    b) Dont ever nick it.

    I remember looking at the penalities for VAT once before when i was intrigued by a guy who used to pocket everything including the VAT without paying any of it. He had started to get worried about the tax but funily tax evasion while bad is not as bad as screwing Customs. Who seem to take it quite to heart. There used to be a list of what would happen depending on how much VAT you owed or you had swindled, with something like 100k plus being a stint in jail.

    If I was you, dont go to court, dont waste another day, phone the solicitor and pay him before the hearing, stick your head down and next time pay it on time you lazy git.
    What happens in General, stays in General.
    You know what they say about assumptions!

    Comment


      #3
      I am reluctant to stump up these fees as the petition was issued after I had paid every thing - sure if I still owed the VAT money then I should pay - but the petition was issued in error - a simple phone call from the 32 million / year turnover solicitor to check if the money was still outstanding was all that was required. Instead they were incompetent in not checking the facts and just pushed forward – remember these are the solicitor fees and not the VAT fees.

      I have a fight on my hands here – but right now I will not be paying these damm costs and will be attending the hearing.
      www.stormtrack.co.uk - My Stormchasing website.

      Comment


        #4
        Try not to drop the soap in the shower would be my next advice then.
        What happens in General, stays in General.
        You know what they say about assumptions!

        Comment


          #5
          If you have anything that says the note was issued in error then you will be fine. Id mention your costs to the judge at the hearing and tell him you want to be compensated for the error of C&E and see what happens.

          Mailman

          Comment


            #6
            Originally posted by wxman
            I am reluctant to stump up these fees as the petition was issued after I had paid every thing - sure if I still owed the VAT money then I should pay - but the petition was issued in error - a simple phone call from the 32 million / year turnover solicitor to check if the money was still outstanding was all that was required. Instead they were incompetent in not checking the facts and just pushed forward – remember these are the solicitor fees and not the VAT fees.

            I have a fight on my hands here – but right now I will not be paying these damm costs and will be attending the hearing.
            Hold on a minute, you've admitted that you are late. The fact you've paid doesn't alter that. You still withheld monies unduly even if only for a short amount of time.

            Pay up avoid the pain and heartache and but a better calendar so you never forget again.

            What on earth is more important than paying these guys on time given that we all know what they can do if you don't? Stong whinging and pay them. If you feel really aggrieved pay them and then write to ask for them to consider paying it back as it was in error. Whatever you do don't go into court with the fines unpaid you'll get crucified

            Comment


              #7
              Same thing happened to me about 5 years ago - my VAT office was closed and my "account" moved to another office, and someone lost my paperwork - after I had paid on time. I got the usual nasty letter, so I took them a bank draft in person, which they promptly lost, so I was issued with a winding up order 2 weeks later. I did get the process stopped in time, by phoning the solicitors and explaining the situation. They were pretty relaxed about it ("happens all the time apparently" was the quote ) and the penalties were withdrawn. The solicitors also withdrew their costs. Scared the sh1t out of me at the time though.
              His heart is in the right place - shame we can't say the same about his brain...

              Comment


                #8
                Remember these are the solicitor fees and not the VAT fees.

                This is just solicitor Vs Me
                www.stormtrack.co.uk - My Stormchasing website.

                Comment


                  #9
                  Well some good news this last hour…After a number of phone calls this morning the solicitor, acting on behalf the VAT people have now agreed that the petition WAS issued in error and that the call for it to be enforced as well as the request for costs have been dismissed.

                  Great – just the two days work that I have lost so I will be sending this to the court for them to review on Wednesday!!

                  I am so glad that I did not roll over and pay up!
                  www.stormtrack.co.uk - My Stormchasing website.

                  Comment


                    #10
                    Pay early next time you lazy g't.
                    What happens in General, stays in General.
                    You know what they say about assumptions!

                    Comment

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