VAT return checklist: what to review before your accountant submits to HMRC

A VAT return may look like a simple set of figures, but a lot sits behind it. Your sales invoices, purchase receipts, bank transactions, VAT codes, supplier bills and accounting software all need to tell the same story before anything is submitted to HMRC.

Even if your accountant handles the final submission, it is still worth reviewing the basics yourself. A quick check before the deadline can help you spot missing invoices, incorrect VAT codes, duplicated expenses or payments that have not been matched properly.

If you use a VAT return accountant, they can review the technical side for you, but your records still need to be complete and up to date. This checklist will help you understand what to look at before your VAT return is filed.

Check your VAT period and deadline first

Start by checking the VAT period covered by the return. For most VAT-registered businesses, returns are submitted quarterly, although some businesses submit monthly or annually.

The usual VAT return deadline is 1 calendar month and 7 days after the end of the VAT period. The VAT payment is normally due by the same date, so you need to make sure money is available in your business bank account.

Do not leave the review until the final day. If there is a missing supplier invoice, an incorrect VAT code or a sales figure that does not match your bank account, you need time to fix it before submission.

Review your sales invoices

Your sales invoices are one of the first areas to check. Make sure all invoices for the VAT period have been included, especially if you raise invoices manually or use more than one system.

Look at whether the correct VAT rate has been charged. In the UK, the standard VAT rate is 20%, but some goods and services may be reduced-rated at 5%, zero-rated at 0% or exempt. If your business sells different types of goods or services, this matters even more.

You should also check credit notes, discounts, refunds and cancelled invoices. These can affect the VAT due, and if they are entered in the wrong period, your return may not reflect the true position.

If you regularly feel unsure about this stage, professional VAT return filing services can help you avoid simple mistakes becoming HMRC issues.

Make sure all purchase invoices are included

Next, review your purchase invoices and expenses. Input VAT can usually only be reclaimed where the cost is for your business and you have proper evidence, such as a valid VAT invoice.

Check that supplier invoices show the supplier’s VAT number, invoice date, VAT amount and total amount. Card receipts alone are not always enough, especially for larger purchases, so it is worth keeping proper invoices wherever possible.

You should also check that expenses have not been duplicated. This can happen when a receipt is uploaded, then the bank payment is also entered separately. Duplicated expenses may lead to overclaiming VAT, which can cause problems later.

A good accountant will question unusual claims, but you can make the process smoother by keeping clear records throughout the quarter.

Check bank transactions are reconciled

Before your accountant submits the return, your bank transactions should be reconciled. This means the payments and receipts in your accounting software should match your actual bank statements.

Unreconciled transactions can make your VAT return unreliable. For example, a customer payment might be sitting in the bank feed without being matched to a sales invoice, or a supplier payment may not have been linked to the correct bill.

If you use QuickBooks, Xero or similar software, this is where good setup makes a big difference. A certified QuickBooks accountant can help make sure your bank feeds, VAT codes and reports are set up properly from the beginning.

Review VAT codes carefully

VAT codes are a common source of errors. A purchase may be marked as 20% VAT when it should be zero-rated, exempt or outside the scope of VAT. A sale may be treated as standard-rated when it needs a different treatment.

This is especially important if you deal with overseas customers, reverse charge transactions, construction services, mixed supplies, imports or exports. These areas can quickly become technical.

Before submission, scan your VAT detail report and look for anything unusual. Large VAT claims, negative figures, old dates, unfamiliar suppliers or round-number adjustments should all be reviewed.

This is where experienced VAT accountants services can add real value because they know what HMRC may question.

Check personal expenses have not slipped in

If you are a small business owner or sole trader, it is easy for personal and business spending to become mixed, especially if you occasionally use the same card.

Before the VAT return is submitted, check that personal expenses have not been claimed through the business. You should also look at costs that are partly business and partly personal, such as mobile phone bills, home office costs or vehicle expenses.

If you are self-employed, an accountant for sole trader can help you separate genuine business costs from personal spending, which also helps when your Self Assessment tax return is prepared.

Review large purchases and assets

Large purchases deserve extra attention because they can have a noticeable effect on your VAT return. This may include equipment, vans, machinery, computers, furniture or refurbishment costs.

Check that the invoice is in the correct business name, the VAT amount is shown correctly, and the item has been entered in the right category. If the purchase relates partly to exempt activity or personal use, the VAT position may need to be adjusted.

If your VAT repayment looks much higher than usual, large purchases may be the reason, but your records need to support the claim.

Check payroll and staff costs are treated correctly

Wages, salaries and pension contributions do not usually include VAT, so they should not be treated as VATable purchases. However, staff expenses, mileage claims, subcontractor invoices and agency invoices may need closer review.

If your business has employees, it is worth keeping payroll records separate and tidy. For wider support, payroll services for businesses in Slough can help you stay organised with PAYE, pensions and employer obligations while your VAT records remain clear.

Make sure your digital records are complete

Under Making Tax Digital for VAT, VAT-registered businesses must keep digital records and submit VAT returns using compatible software. This does not mean you can ignore the paperwork behind the figures.

You should still keep invoices, receipts, credit notes, bank statements and any working papers that explain adjustments. In most cases, VAT records must be kept for at least 6 years.

If HMRC ever asks a question, your accountant needs to be able to show where the numbers came from. That is much easier when your records are organised before the return is submitted, not months later.

Look at whether the final VAT figure makes sense

Before giving approval, take a step back and ask whether the final VAT amount looks reasonable.

Compare it with previous quarters. Has your VAT bill suddenly increased or dropped? Did sales go up? Did you buy expensive equipment? Were there more zero-rated sales than usual? Did you miss a batch of purchase invoices?

A different figure is not automatically wrong, but it should make sense. If it does not, ask your accountant to explain the movement before the return goes to HMRC.

Good VAT returns services should not just submit figures. They should help you understand what those figures mean for your cash flow and compliance.

Tell your accountant about business changes

Your accountant can only work with the information they have. Before submission, tell them about any changes that may affect the VAT return.

This could include new services, overseas sales, new suppliers, business loans, asset purchases, changes in pricing, customer refunds or a move into a new sector.

If you are also preparing your personal tax position, tax return services for individuals can help make sure your VAT, income and tax records are aligned properly.

Do not approve the return blindly

It may be tempting to simply say “yes” when your accountant sends the VAT return for approval, especially when you are busy. But it is worth taking 10 minutes to review the summary.

Ask for the VAT calculation, check the sales and purchase totals, and confirm the payment amount. If something looks wrong, raise it before submission.

Working with experienced vat accountants should give you confidence, but approval should still be a shared process. Your accountant handles the technical work, while you confirm the business records are complete.

Final thoughts

A VAT return is not just another admin task. It affects your cash flow, your HMRC compliance and the accuracy of your business records.

By checking your invoices, receipts, VAT codes, bank transactions and deadlines before submission, you reduce the risk of errors and last-minute stress. You also give your accountant the best chance of filing an accurate return on time.

If you want proper support from vat specialist accountants, Asmat & Co can help you review, prepare and submit your VAT returns with confidence. Whether you need regular VAT support, bookkeeping help or wider accountancy advice, their team can keep your records clear and your deadlines under control.

Get in touch with Asmat & Co today to speak to a friendly accountant and make your next VAT return easier to manage.

FAQs

What should I check before submitting a VAT return?

You should check your sales invoices, purchase invoices, VAT codes, bank reconciliation, credit notes, refunds, large purchases and the final VAT figure. You should also make sure your digital records are complete and your VAT payment can be made by the deadline.

Can my accountant submit my VAT return for me?

Yes, your accountant can submit your VAT return for you if they are authorised to act on your behalf. However, you should still review the figures and confirm that your business records are complete before they file the return.

What records do I need for a VAT return?

You normally need sales invoices, purchase invoices, credit notes, receipts, bank statements, import or export records where relevant, and details of any VAT adjustments. These records should support the figures included in your VAT return.

How long should VAT records be kept in the UK?

In most cases, VAT records should be kept for at least 6 years. If your records are digital, make sure they are stored safely and can be accessed if HMRC asks to review them.

What happens if a VAT return is wrong?

If you notice an error after submission, you may be able to correct it on a later VAT return depending on the size and type of error. Larger or more serious errors may need to be reported to HMRC separately. If you are unsure, speak to your accountant before making changes.