If Company’s turnaround exceeds £90,000 in the past 12 months then it is required to register for VAT. It may do this without reaching the threshold if it is beneficial to the business.
Registration for VAT with Pro-Accounting Office is smooth and without unnecessary formalities. We send appropriate form (VAT-1) to HRMC on behalf of your business. Registration takes up to 14 days. When completed, you will receive a Certificate and your brand-new VAT registration number.
VAT return usually takes quarterly. The company need to pay the difference between charged VAT and VAT it paid on purchases. If VAT paid on purchases exceeds the charged VAT then HMRC issues a refund.
VAT Registration is a very beneficial thing in business relations. If you are registered for Vat and you buy item from European Union the Vat rate will be 0%. Standard rate in UK is 20%, reduced rate is 5% (i.e. electricity) and 0% rate is applied for example on books and food.
Apart from standard VAT rate there is also Flat Rate Scheme. It means you pay the same amount to HMRC, it depends on the industry you are in (rate varies from 6.5% to 16.5%). However, you need to add 20%VAT to your invoices.
Pro Accounting Office offers very good prices on VAT returns.