VAT

Value added tax - VAT registered businesses must report to HMRC the amount of VAT charged and paid every 3 months.

Should You Be VAT Registered

Value Added Tax

The VAT registration threshold is £85,000, and the de-registration threshold increases from £83,000.

Value added tax is one of the most complex tax regimes imposed on business, so complex that many businesses inadvertently overpay or underpay their VAT. The ever widening scope of VAT and the constantly changing regulations requires a trained professional eye to ensure that you do not fall foul of the regulations and do not pay the Exchequer more than you need to.

Our VAT service includes:

  • Assistance with VAT registration / deregistration
  • Advice on VAT planning and administration
  • Use of the most appropriate scheme
  • VAT control and reconciliation
  • Completion and filing of VAT returns
  • Planning to minimise future problems with HMRC
  • Negotiating with HMRC in disputes and representing you at VAT tribunals

Examples of Taxable Supplies

VAT is charged on things such as:

  • Business Sales (when you sell goods and services)
  • Hiring / Loaning Goods to someone
  • Selling Business Assets
  • Commission
  • Items Sold to Staff (canteen meals)
  • Business Goods used for personal reasons
  • ‘Non-Sales’ (bartering, part-exchange and gifts)

Your VAT Responsibilities

From the effective date of registration you must:

  • Charge the right amount of VAT on goods / services
  • Pay any VAT due to HMRC
  • Submit VAT Returns
  • Keep VAT records and a VAT account
  • Reclaim any VAT paid on business-related goods / services
  • Report to HMRC the amount of VAT you’ve charged / paid
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