Forgot to file your VAT return? Here is what happens now

You have forgotten your VAT return: what happens now?

This can happen to many people, especially when you are a business owner juggling all the different tasks involved. There is a solution, however, and we will tell you much more about it here.

What happens when you forget to file your VAT return?

You must always file your VAT return on time; otherwise you will be charged around DKK 800 in fees. The tax authorities (SKAT) will then make an estimate of your turnover and the VAT owed. SKAT's estimate can turn out to be expensive for you, as it usually assumes a high turnover. If this happens four times in a row, you could in the worst case lose your VAT registration. A late return may be because you are short of cash and want to apply for an interest-free VAT loan. You should therefore take particular care to file on time, as you cannot get an interest-free VAT loan if your returns have not been filed on time.

How do you solve the problem?

Fortunately, this can be solved, but you cannot avoid the roughly DKK 800 you have been charged for late filing. You can always contact SKAT directly. You can explain why the mistake happened, that you will correct it immediately and that you will always file on time in future. This is a good first step towards breaking the ice with your caseworker, who will then do their best to help you through. At the same time, it is important to have your VAT information ready when you speak to SKAT. This is partly because you may not have the money to pay everything at once and can therefore negotiate a payment plan, and partly because it shows that you are on top of your figures.

How do you avoid this in future?

We learn fastest when we make mistakes

We learn fastest when we make mistakes. You now have the opportunity to do better with your next VAT return, and there are many ways to do so. We have created a Financial Calendar with all the important deadlines, which you can add to your phone so you are always up to date. You also now know never to leave your VAT return until the last minute, which is why outsourcing your bookkeeping can be a good investment, so you never have to face the same obstacles again. You can now focus on running your business, knowing that your deadlines and figures are always up to date.