The ICAEW Talk Insolvency Blog helpfully indicates that they have confirmed with HMRC that where CVL is the exit route from Administration then there is no need to send a further VAT 769 after conversion. Instead, just send HMRC a letter notifying them of the date of conversion to CVL and either providing details of the liquidator, or confirming that the administrator is now acting as liquidator.
The second point is that we have heard from one client who chased up HMRC because a company had not been deregistered for VAT despite ticking the “deregistration applies" box on the VAT 769. They were told that HMRC ignore what the VAT 769 says as it appears that too many IPs were ticking the box without thinking about it and then getting in touch after deregistration to have it reinstated. Whilst we are Blogging this, we have only heard about this happening from one client, and it was also a few months ago and we have heard nothing else since, so we are not sure if this is a change of HMRC policy or just one “rogue” member of staff doing their own thing.
