I had exactly the same issue with a car I broke for parts.
Send off the appeal stating the car was SORNED using V14 with the date of the form in the appeal.
I also had manually SORN'd the car at the post office using the V5. If you do this, you get a receipt which clearly states the status as SORN
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1991 90 quattro 20v sport
1991 90 quattro
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