Are there financial penalties for using an invalid VAT number on your invoices?

Question

Supposing you once had a VAT number, but it had lapsed, and you hadn't got round to updating your invoice stationary. Your invalid VAT number is on all invoices you send out to customers. What penalties, if any, can be imposed if caught?

Answer 1

What do you mean by lapsed? It seems to me that you have a more serious problem here than you may think.  It depends on why it lapsed.  If you were registered to charge VAT and then de-registered then your invoices need to reflect this.  So have you been sending out invoices with VAT included in the figures or implying the same by quoting the VAT number but then not sending that VAT to Customs and Excise?  You can only de-register with permission from Customs and Excise.

You will have to contact Customs and Excise.

Answer 2

Is the company still trading, despite being struck?

This is a criminal offence.

Are you still completing VAT returns? (HMRC don't stop sending them until you're deregistered)

If you're charging VAT without a valid registration, this is also a criminal offence.

PS. You also owe HMRC a lot of VAT.