Should I register for VAT?

You must register for VAT when your turnover reaches £85,000 in any 12 month period. VAT registration must take place 30 days, following the end of the month in which the threshold was reached in which to register. From that date you must charge VAT to your customers...

How to complete a VAT return – the basics.

To complete a basic VAT Return use notice 700/12 online. For ordinary UK sales/purchases, complete boxes: 1) Output VAT, that is VAT on your sales, and for claiming VAT on fuel on cars in the business, apply what’s called a VAT scale charge or VAT fuelled scale...

What to do when you receive a VAT assessment

The reason for HMRC sending you an assessment is that you are late submitting your Vat Return. If you pay the assessment you could wait a very long time for them to correct the amount after you send in your Return, which is especially annoying if they owe you money!...

How to delay being VAT registered

VAT registration is a problem for small businesses who sell to the general public.  When annual turnover exceeds £85,000, they must register for VAT and pay 1/6th of gross sales to HMRC.  However, you can avoid/delay registration: Restrict annual turnover to less than...

Which is best for VAT – Cash or Invoice based Accounting?  

It depends.    Cash accounting schemes – advantages for small/simple businesses:  You only account for VAT on sales in the VAT quarter in which you are paid (rather than the VAT quarter you are invoiced)  – because you pay your VAT to HMRC a bit later;  If you have...

MTD and VAT registered businesses 

Making Tax Digital (MTD) is the biggest change in our tax system since Self-Assessment was introduced.  From April 2020, all businesses and landlords with annual turnover over £10,000 will have to make online quarterly submissions of key financial information to...