Vat registration accountants
Understanding VAT registration can help you get your business organized. It is required by the government for sales, and you don’t want to be out of compliance. The process isn’t difficult, but it shouldn’t be put on the backburner either. Posting your business correctly with the government alleviates problems later on.Get a Quote Now
All businesses must complete VAT registration if they earn more than £85,000 annually. It doesn’t matter what products or services you offer. What many business owners don’t realize in the beginning is VAT registration actually works in their favor. It is possible through this to recover a portion of the funds paid for VAT when those purchases are specifically for the business.
There are many benefits of VAT registration including:
Ability to charge VAT on merchandise sold
Paying VAT due to HMRC
Money returned to the business
VAT records and account information
Once VAT is approved, the business will be enrolled. They will be given a unique number to identify that registration. If you own more than one business, you need to apply for VAT for each of them.
You can only use the VAT number for the business it was signed to. Make sure you remember that number and any employees who may need to use it have that information. It can be useful for converting the charges among EU nations.
The VAT registration threshold is the amount of money you can win and not have to enroll in VAT. Once you go over that threshold, you must register. It is important to understand the timeline doesn’t have to coincide with the calendar year. Make sure you check when your VAT turnover from the previous year ends and starts over.
If you believe your turnover will go over the threshold within 30 days or you have earned enough to take you over that threshold, get the VAT registration completed.
The taxable turnover is all the money you earn through the duty year. If a business deal is excluded from VAT, don’t count it as part of your taxable turnover amount.
The threshold amounts go up over time. This is a list of threshold amounts from 2014 through 2020:
2014 to 2015 – £81,000
2015 to 2016 – £82,000
2016 to 2017 – £83,000
2017 through 2020 – £85,000
Help with VAT
Don’t feel intimidated by VAT and all it entails. We are here to guide you and assist you. We can help you understand how it applies to your circumstances. You can count on Gm Accountants in London to help you with VAT registration and VAT registration threshold.
We can help you from the start, where you are at now, or as your needs change in the future.
The government regulations depend on variables and how they apply to your earnings. Mistakes can cost you money in the long run.
Mistakes can get you into trouble with the government. It is best to discuss VAT with a qualified professional. We know these laws inside and out, and we can help you apply them correctly to your UK-based business.
GM Professional accountants have offices in Ilford, Canary wharf, and Wimbledon.