Put Our Vat Specialist Advice To Grow your business - TPCGUK

Growing your business: Putting Our Vat Specialist Advice

Our Vat Specialist Advice is easy guidance about VAT for small businesses from when you should register, to how to submit your returns.

What is Vat? Value Added Tax is one of the most complex types of taxes and requires careful planning to ensure the success of your businesses. Vat was introduced in 1973 and it is collected on the sale of goods and services.

VAT is often charged on the following: 

Sales of your goods and/or services

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Exchanges – new for old products, such as cars

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Selling business assets

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Business goods used for personal reasons

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Commission

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Hiring or leasing of your goods

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Items sold to staff, such as meals

When do I have to register for VAT?

You must register for VAT if 

Your business had a VAT taxable turnover of more than £85,000 over the last 12 months.

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You expect your VAT taxable turnover to be more than £85,000 in the next 30-day period

Voluntary registration If your business turnover is below £85,000, then You can register voluntarily.

There are three different VAT rates which apply to taxable supplies:

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Standard Rate 20% – The majority of goods and services.

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Reduced Rate 5% – Domestic fuel and power, child car seats etc.

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Zero Rate – Books, children’s clothing, exports etc.

When do you have to submit your returns?

Usually VAT returns are submitted on a quarterly basis, but you can submit yours on a monthly basis.

If you want to get guide to make VAT less of a mystery – you may even have picked up a few useful tips.

If you want more information on VAT, directly from HMRC, visit www.tpcguk.com/contact