When is an OSS scheme return automatically treated as amended under paragraph 25 of Schedule 9ZD?

An OSS scheme return is automatically treated as amended in three situations: when a person claims an overpayment due to an error, when they notify HMRC of a change in consideration for a supply, or when they notify HMRC of any other error or omission requiring correction. No formal resubmission of the return is needed.

Does a business need to formally resubmit a VAT return to correct an error under paragraph 25?

No. Under paragraph 25 of Schedule 9ZD, the original return is deemed to incorporate the corrective information provided to HMRC. Whether through an overpayment claim, a notice of changed consideration, or an error notification, the return is automatically treated as amended for all purposes of the VAT Act.

How does paragraph 25 handle changes in consideration after an OSS return has been filed?

If the consideration for a supply changes after the return is filed — for example, a price adjustment upwards or downwards — and the person gives HMRC notice under paragraph 33(2), the original return is automatically deemed amended by that notification. The legal position then aligns with the corrected figures without formal resubmission.

What is the practical effect of deemed amendment on the original VAT return?

The practical effect is that the original return is treated as incorporating the corrected information for all purposes of the VAT Act. This means the legal position reflects the accurate figures as though the return had always contained them, eliminating the need for a separate formal amendment or resubmission process.

Value Added Tax Act 1994 section 25

Deemed amendments of returns

Section 25 of Schedule 9ZD sets out the circumstances in which an OSS scheme return or a relevant non-UK return is automatically treated as having been amended, without the need for a formal amendment process.

Where a person claims an overpayment due to an error in their OSS scheme return or relevant non-UK return, the return is treated as amended by the information in that claim.
Where a person notifies HMRC of an increase or decrease in consideration relating to a return, the return is treated as amended by that notification.
In any other case, where a person notifies HMRC of an error or omission in a return that needs correcting, the return is again treated as amended by that notification.
In all three cases, the amendment takes effect automatically for the purposes of the VAT Act — no separate formal amendment to the return is required.

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