MDA & CO

120 Bark Street

6th Floor

Bolton

BL1 2AX

 

Tel: 01204 522185 / 07745 527877

VALUE ADDED TAX                   

 

 

 

 

 

VAT (value added tax) is a tax that's charged on most goods by businesses registered for VAT within the UK. It's also charged on goods and some services that are imported from countries outside the European Union (EU), and brought into the UK from other EU countries.

 

Registered businesses can reclaim VAT that they have paid. There are three rates of VAT, these depend on the goods or services the business provides. You will need to prepare a VAT return every quarter, this will include information on your total sales and purchases and the amounts of input and output VAT

Every business that is VAT registered, must charge VAT to its business and non-business customers.

 

VAT THRESHOLDS FOR REGISTRATION FROM 01 APRIL 2018

 

  • Registration for distance selling within the UK - More than £70,000
  • Registration for bringing goods into the UK from the EU - More than £85,000
  • Deregistration threshold - Less than £83,000
  • Completing simplified EC sales lists - £106,500 or less and supplies to EU countries of £11,000 or less