There may come a time when you will start to wonder whether becoming VAT registered will benefit your business. There are a couple of things that you want to keep in mind when deciding to register for VAT.
It's important to note that VAT can be very tricky, and it's very important to speak to an accountant first before making any final decisions.
What is the current VAT threshold?
The VAT threshold is currently £85, 000 so if your turnover (total sales) has surpassed this, then you need to register for VAT. Furthermore, if you believe you will surpass this threshold within the next 30 days, then you would need to register for VAT.
It's important to remember the end date for VAT is separate from the year-end accounts. Instead, calculated on a rolling 12 months basis.
It is also important to note that when registering for VAT as a self-employed person, you as an individual would register for VAT.
These are some bits about VAT if you need accounting advice do no hesitate to contact us on our website: broadaccountants.co.uk