- UK Incorporation +
- Business Support +
- UK RESIDENT OFFER :LIMITED COMPANY
Thank for completing my personal tax at a very competitive rate.
Date : 05/08/2014
Author : Terrence - Surrey, UK
GR MORGAN FORMATIONS can support you while applying for the VAT Number and filing your VAT return. We understand how difficult it is for companies to deal with VAT issues. We are committed to offer complete assistance for your VAT reporting and records. We will oversee your activity to solve any VAT problem that may arise and assist you to plan for the future efficiently. We are able to deal with HM Customs & Excise on your behalf and even offer a general support facility to your firm.
Below are two packages we have designed for a full VAT support:
If you are conducting business and your turnover (different to the profit) exceeds the registration threshold then it is compulsory to register for VAT. You are responsible for informing the HMRC when you reach this threshold or as soon as you know you will go over the threshold, a 20% VAT charge will apply on all your sales. There could be fines or penalties if the VAT application in not made on time (within 30 days).
There are two types of VAT registration: COMPULSORY and VOLUNTARY.
There are two tests for the compulsory registration:
Historic test - when a year (12 months) taxable supply has passed the limit of £83,000.The HMRC must be informed within 30 days.
Future test - When the taxable supply is forecasted to exceed the limit of £83,000 in the next 30 days. HMRC must be informed before the end of this deadline. If the registration is not carried out on time, a penalty will be charged.
In case, your taxable turnover doesn’t reach the registration threshold, applying for voluntary registration might be an option as long as you can prove that you are conducting business for VAT purposes. Both benefits and disadvantages are associated with the voluntary registration. Carefully examine them before you apply for it.
One of the benefits you will gain is the enhancement of trustworthiness of your business. Furthermore, in case your activity has standard or zero-rated supplies, you will be eligible for an input tax claim.
On the other hand, the VAT registration involves that you:
The voluntary registration will offer recovery of input VAT (on purchases) and avoid penalties for late registration.
With HMRC either voluntary or compulsory de-registrations are allowed.
Compulsory deregistration is applicable when taxable supplies are stopped by the taxable person. The HMRC must be informed within 30 days from the date of cessation.
Voluntary deregistration is permitted when the evidence indicates that supplies will not exceed £83,000 in the next 12 months. After approval by HMRC your registration will be cancelled.
Contact us to learn more.