Value Added Tax (VAT)

Value added tax (VAT) is a complex area of the UK tax system and therefore it comes as a burden on businesses which are supposed to collect VAT on behalf of the UK Government. The scope of VAT is also not static its constantly widening. Businesses are required to be VAT registered if their turnover crosses VAT threshold (£90,000 at the moment) however some businesses may chose to be VAT registered as it brings them certain benefits. In both cases VAT process will need meticulous bookkeeping arrangement to avoid last minute frustration and confusion.

Value added tax (VAT) is a complex area of the UK tax system and therefore it comes as a burden on businesses which are supposed to collect VAT on behalf of the UK Government. The scope of VAT is also not static its constantly widening. Businesses are required to be VAT registered if their turnover crosses VAT threshold (£90,000 at the moment) however some businesses may chose to be VAT registered as it brings them certain benefits. In both cases VAT process will need meticulous bookkeeping arrangement to avoid last minute frustration and confusion.