VAEC2950 | Section 73(1) and 73(2) assessments: Definition of underpayment and overpayment

For information about retired VAT systems, go to VAEC0150. For information about Making Tax Digital for VAT and ETMP processes, go to VAEC0200.

An underpayment means that the amount declared on a return or error correction notification, or an amount assessed has not been paid in full.

An overpayment means that the amount paid exceeds the amount declared or assessed.

Under and overpayments are not the same as under and over-declarations, see VAEC2930.