VAT is a one of the most arduous and complex tax regimes with which a business has to comply. It is quite possible to inadvertently overpay or underpay your VAT liability.
Penalties and charges apply for the late registration, late payment and under-declaration of VAT, which can be as high as 100% of the tax lost.
We can help you avoid such penalties by:
- Bookkeeping and completing VAT returns using your records, or
- Completing VAT returns based on your bookkeeping and records, or
- Providing VAT training and ongoing support where necessary.
Although you do not have to register for VAT until your turnover is more than £68,000 in any twelve month period, you should review your turnover every month to ensure that you have not exceeded the limit.
Even if you do not need to register for VAT, you might still be able to register voluntarily. Although there are additional costs and risks involved, VAT registration could be advantageous because
- You would be able to reclaim VAT on your expenses
- You might be able to recover a considerable amount of VAT even if your expenses are low, by joining the flat rate scheme
- You would be able to recover VAT on costs incurred before you registered
- A VAT registration number could add credibility to your business in the eyes of your customers.
Note: If your customers are VAT registered, there will be no additional cost to them: but if they are not, then the VAT you charge will be an added cost.
We are happy to discuss all your VAT needs, including whether voluntary registration is right for your business. We can also advise on other aspects of VAT, including the benefit of government schemes for small businesses.
Our services are flexible and our charges competitive. Please contact us for your free initial discussion.
