Category Archives: VAT

VAT For Businesses Explained

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Steph

Steph is a Chartered Accountant with many years’ experience working in audit compliance and general accountancy. She is a Fellow of the ICAEW and has extensive knowledge of accountancy and tax for the self employed.
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What rate of VAT do businesses need to payVAT (Value Added Tax) is a tax added to almost everything we buy. If a business has an annual taxable turnover exceeding £85,000, they must become VAT registered. Once registered, the business is responsible for charging the correct rate of VAT on their products and services as well as recording the VAT paid by the business.

Find out more about VAT for your business; do you need to be registered? What are the different VAT rates and schemes available for businesses?

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Changes To The Flat Rate VAT Scheme Explained

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Steph

Steph is a Chartered Accountant with many years’ experience working in audit compliance and general accountancy. She is a Fellow of the ICAEW and has extensive knowledge of accountancy and tax for the self employed.
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flat rate VAT tax scheme changes As part of the Autumn Statement, the government announced that from the 1st April 2017, flat rate VAT will be changing to a uniformed level of 16.5% for businesses that fall into the category of ‘limited cost businesses’. The current rates vary depending on the trade sector of the business but can be anything from 4% to the standard rate of 14.5%.

The flat rate tax scheme was introduced to help small businesses save time by simplifying the accounting process for VAT, making it easier to work out the VAT that they have to pay.

In this blog, we will look at why this change was made, important timescales and how this change will affect you.

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