When you must register for VAT

When you must register for VAT

by | Oct 12, 2023 | Value Added Tax

The taxable turnover threshold, which determines whether businesses should be registered for VAT, is currently £85,000. The taxable turnover threshold that determines whether businesses can apply for deregistration is £83,000. Businesses are required...
VAT Capital Goods Scheme

VAT Capital Goods Scheme

by | Sep 28, 2023 | Value Added Tax

The VAT Capital Goods Scheme (CGS) is a means of spreading the initial VAT recovery in respect of certain assets over either 5 or 10 years. The scheme seeks to agree a fair and reasonable attribution of VAT to taxable supplies and non-taxable supplies relating to...
Activities subject to the scope of VAT

Activities subject to the scope of VAT

by | Sep 21, 2023 | Value Added Tax

There are a number of conditions that must be satisfied for an activity to be within the scope of UK VAT. An activity will fall within the scope of VAT when all the following conditions are met: it is done for consideration; it is a supply of goods or services; the...
VAT supplies for no consideration

VAT supplies for no consideration

by | Aug 24, 2023 | Value Added Tax

In most cases, a supply of goods or services for VAT purposes is deemed to have taken place in return for consideration. This is usually payment in money but can also be of a “non-monetary” nature, such as goods or services supplied in return. There...
Tax and duty on goods sent from abroad

Tax and duty on goods sent from abroad

by | Aug 17, 2023 | Value Added Tax

There are special rules to help ensure that goods sent from abroad are taxed appropriately. The aim is to not disadvantage UK businesses supplying goods in the UK, for example, by having to compete with VAT free imports. This includes goods that are new or...
VAT recovery when leasing vehicles

VAT recovery when leasing vehicles

by | Aug 17, 2023 | Value Added Tax

The VAT treatment of motoring expenses is relevant to any business that incurs VAT on motor expenses. We have covered below some important points to be aware of concerning the recovery of input tax (VAT) when leasing vehicles: Leasing company recovering VAT on...