Since April 2015, the VAT registration threshold was £82,000.
As announced in the recent Budget, the VAT registration threshold from April 2016 will be £83,000.
If your turnover is hovering around the registration threshold, it is really important that you update your bookkeeping records regularly, so that you can quickly identify when your turnover breaches the threshold. That way you will register on time and not incur any late registration penalties. And you can start accounting for VAT, so you’re not facing any large, backdated payments to HM Revenue & Customs.
If you would like any advice or help regarding VAT registration, the VAT schemes available to you and how to manage your affairs once you become VAT registered, please do not hesitate to get in touch with us. We can put you in contact with your local TaxAssist Accountant that would be happy to help.
By Jo Nockels
Disclaimer: The information provided is based on current guidance (at date of publication) from HMRC and may be subject to change. Any advice shared here is intended to inform rather than advise. Taxpayer's circumstances do vary and if you feel that the information provided is beneficial it is important that you contact us before implementation. If you take, or do not take action as a result of reading this information, before receiving our written endorsement, we will accept no responsibility for any financial loss incurred.