Does your business have a turnover of more than £85,000?
If so, then you have a legal obligation to declare this and register for VAT.
Maybe, you work business to business, and you would like to opt to go VAT registered?
VAT, otherwise known as “Value Added Tax”, will require you to add, in most cases, 20% onto all your invoices, however, this will need to be clearly marked as VAT and you will, also, need to complete VAT returns. Any VAT that you charge will need to be paid over to HMRC with any deductable items taken off via your VAT return.
HMRC have recognised the cashflow problems that this can cause small businesses and so have introduced a number of schemes that KJ Bookkeeping and Payroll can talk to you about.
That’s where KJ Bookkeeping and Payroll come in though as we know all the ins and outs of dealing with VAT and we can not only register you for VAT and provide you with your unique VAT number but provide advice as to what to do once you are registered. Things like ensuring that you charge the correct percentage on your invoices (although some software automatically does this for you), ensuring that you have your VAT number on your invoices and that VAT returns are completed and returned for you in a timely manner.
On a more positive note, you will be able to claim the VAT back on any purchases you make from VAT registered companies.
It may all sound a little complex and, yes, it can be.
Looking For Help?
If you would like to know more about the accountancy services that we can offer, then please do not hesitate to get in contact with us today.
We would love to hear from you.