Value Added Tax

Accounting and Tax Solutions.

Preparation & Filling to HMRC / * our rates are subject to VAT
  • VAT Return


  • VAT Registration


Value Added Tax

VAT is a tax that's charged on most goods and services that VAT-registered businesses provide in the UK.

There are three rates of VAT, depending on the goods or services the business provides.

The rates are:
  • Standard - 20 per cent
  • Reduced - 5 per cent
  • Zero - 0 per cent
There are also some goods and services that are:
  • Exempt from VAT
  • Outside the UK VAT system altogether the European Union (EU), and brought into the UK from other EU countries.

VAT is charged when a VAT-registered business sells to either another business or to a non-business customer. When VAT-registered businesses buy goods or services they can generally reclaim the VAT they've paid

How VAT is charged and accounted for...

  • If you're VAT-registered the VAT you add to the sale price of your goods or services is called your 'output tax'.
  • The VAT you pay when you buy goods and services for your business is called your 'input tax'.

Filling in your VAT Return

If you're VAT-registered you'll have to submit a VAT Return at regular intervals - usually quarterly - the return shows:

  • The VAT you've charged on your sales to your customers in the period - known as output tax.
  • The VAT you've paid on your purchases - known as input tax.
  • If the amount of output tax is more than the input tax, then you send the difference to HM Revenue & customs (HMRC) with your return.
  • If the input tax is more than your output tax, you claim the difference back from HMRC.

Our Services

  • VAT planning and administration.

  • VAT control and reconciliation.

  • Completing VAT returns.

  • EC trade advice, completion of EC Sales List.

  • Use of the most appropriate scheme.

  • Planning to minimize future problems with HMRC.

  • Negotiating with HMRC in disputes.

We prepare your VAT return either from your own bookkeeping records or we can take care of your record keeping and the VAT return.

As with other areas of tax, we can act as your Agent for VAT purposes and therefore correspond with HMRC on your behalf.

When you must register for VAT

If you are a business and the goods or services you provide count as what's known as 'taxable supplies' you'll have to register for VAT if either: your turnover for the previous 12 months has gone over a specific limit - called the 'VAT threshold' (currently £81,000) you think your turnover will soon go over this limit You can choose to register for VAT if you want, even if you don't have to.