The new VAT penalties regime

I hate to admit it but I can remember when the Default Surcharge and other civil penalty regimes were introduced in the 1980s. Their introduction came as a bit of a shock at the time to both clients and their advisers. Until then the only sanction for failing to submit a VAT return or for submitting late or incorrect VAT returns was the rare occurrence of being summoned to court and fined by a local magistrate. 

At that time taxpayer compliance was patchy to say the least but once the penalty regime kicked in compliance improved beyond all recognition. Sad creature that I am I have fond memories of this time as the introduction of the penalty regime launched my career in the accounting profession. Suddenly businesses needed help with their compliance processes and accounting systems....