Mr. Sean Angland:

An error was made in accounting for very specific VAT transactions over a period. The committee may be aware that, in 2010, changes were made with regard to how businesses account for VAT on services purchased from overseas. The onus was therefore on the purchaser to self-account. At the time we registered, continued to account for and made the returns for VAT on all overseas purchases that we made. We identified ourselves in 2016 that there was a particular subset of purchases, particularly for electronically-supplied services, for which we had not correctly accounted for VAT. We reported to that to the Revenue as soon as we identified it, made a self-declaration, paid the interest and penalties, and we have since put improved systems in place to ensure that we capture those immediately and account for them.