Well things have moved on since my last post and not for the best.
He complied with the original request but then received notice of a full audit for the year 2014.
The inspector came to his premises today and by all accounts was less than impressed with Dad's record keeping.
First off, the invoices they had sought for the UK based supplier (2009 - 2016) I mentioned above showed that he had not paid any vat. They advised that this would incur an automatic €4k penalty. I presume he will also have to pay the vat owed on top of this.
They took away the scant records he had for 2014 and said they would be in touch. I wasn't there with Dad so can only relay this information 3rd hand. He is in a bit of shock from the whole thing.
I dont know what will happen next, I expect he will have the wherewithal to pay the €4k but beyond that I am not sure where he stands financially.
We will wait for the inspectors next correspondence, is the time for seeking help from an accountant now passed? With a minimum €4k penalty looming, funds will be tight without an accountants fee on top.
As it stands he is threatening to close up shop and it taking all my willpower to stop him from throwing in the towel and burying his head in the sand.
Regarding the non payment of vat, it appears to relate to this one supplier only. Dad is effectively claiming ignorance and I tend to believe him although I appreciate its not a meaningful defence.
Is another penalty also likely for poor record keeping?