Focusing the picture

Nigel Mellor outlines the current OTS project on VAT and invites input from readers on their experiences 

As all will be aware, VAT was introduced into the UK more than 40 years ago in 1973 and it is often referred to as being (or intended to be) a simple tax. In principle it should be. However, as with most forms of taxation, it has been subject to a process of evolution and change and it is now widely recognised as being complex to administer. That in turn creates compliance challenges for all types of businesses, ranging from micro businesses to large global corporations with activities in the UK.