Making Tax Digital (MTD) for VAT is to be extended to cover businesses with a turnover below the VAT threshold from April 2022. The MTD for VAT regime started in April 2019 when businesses with a turnover above the VAT threshold of £85,000 became … Continue reading Are you registered for Making Tax Digital for VAT?
HMRC will be contacting you if your turnover is below the £85,000 threshold for VAT registration to alert you of your need to comply with MTD for VAT as of April 2022. MTD for VAT was introduced in April 2019 for businesses with turnover … Continue reading Making Tax Digital for VAT is on the horizon for businesses with turnover below £85,000
There are a few VAT margin schemes. The margin schemes work by allowing qualifying businesses to account for VAT on their profit margin i.e., on the difference between the cost of acquiring an item and its sale price rather than on the full selling … Continue reading What goods are eligible for the VAT margin scheme?
HMRC has issued an updated version of VAT Notice 709/3 entitled 'Hotels and holiday accommodation'. The notice has been updated to reflect the change in the reduced rate of VAT for tourism and hospitality to 12.5% from 1 October 2021 to 31 March … Continue reading VAT Update For Hotels & Accommodation
The temporary 5% VAT rate that has applied to supplies made in the tourism and hospitality sector since the start of the pandemic comes to an end at the end of September. The rate then increases to 12.5% from 1 October until 31 March 2022 when it … Continue reading 5% VAT Rate For Hospitality & Tourism Is Set To End
The VAT annual accounting scheme is open to most businesses with a turnover of up to £1,350,000 per year. The main benefits of the scheme include the requirement to file only one VAT return per year. This can significantly reduce the amount of … Continue reading What Is The VAT Annual Accounting Scheme?
An introduction to VAT Value Added Tax, (VAT) is the tax you have to pay when you buy goods or services. The standard rate of VAT in the UK is 20%, with about half the items households spend money on subject to this rate, but following Rishi … Continue reading A Guide: VAT Reduction For Hospitality and Tourism
This month we are focusing on: Different Trading Vehicles to Consider for your business And this week are looking at: What are the requirements for a sole trader at year-end? Becoming a sole trader is the simplest way to get your new business off … Continue reading Terrific Tuesday Tax Tip – What are the requirements for a sole trader at year-end?
This again shows how complex VAT can be in what might appear to be a straightforward situation. Crowdfunded Income A client is unable to trade normally due to the current restrictions and is considering using their staff and resources to … Continue reading VAT and Charitable Donations
Clients are applying for grants being made available by the government via local authorities and are wondering whether they need to treat this income as subject to VAT. HMRC have not spelt out the VAT implications in any of their announcements. … Continue reading Are Government Grants Subject To VAT?
Here, we explore the VAT implications of a restaurant providing delivered takeaways. The following scenario is relevant to many hospitality businesses and demonstrates the complexity of VAT and the need to take specialist advice. A client has … Continue reading VAT and Restaurant Delivered Takeaways
The Coronavirus pandemic has seen a surge in individuals growing their own produce at home or on allotments, and with garden centres re opening, many will want clarification on the VAT treatment of items such as grow-your-own herbs which come with a … Continue reading VAT and Plant Growing Kits