I was wondering if anyone knows what the implications are and how to correct the error?
This person (owner of the company) used a previous company (that he use to be a part of) vat number to levy Output Vat. He did this because his company was new and was not registered for vat yet, and the client only deals with companies that can give a vat number.
He didn't understand that this actually has implications...
He is now aware and want to correct this error.
So he basically levied Vat without being registered using a former companies Vat number.
(He is still not registered for Vat due to the book keeper being super slow.)
Will he have to pay back the vat levied to the client? (He will loose the client)
Or will he have to pay it over to SARS when he gets his own Vat number (and then do Vat retrospectively)?
Or will he maybe just be penalized?