Reclaiming all the VAT you are entitled to will reduce your VAT bill or even create a VAT repayment. Keeping the right records is essential to support any claim you make.
If you are newly VAT registered then this guide will help you understand which expenses you can and can’t claim VAT on, how you claim VAT and the evidence you are going to need.
Reclaiming VAT on cars and fuel can be a complicated area. The answer depends on how you bought the car, what you’ll use it for and how you choose to claim for the cost of fuel.
What Are the HMRC Advisory Fuel Rates for 2019/2020? The HMRC Advisory Fuels Rates are the amounts set out by HMRC that you need when: reimbursing employees for business travel who have company cars; setting rates that employees repay businesses for private fuel use on fuel cards; calculating VAT on mileage claims. You’ll need to (more…)
Businesses are responsible for collecting VAT from end consumers on behalf of the government – they collect VAT from their customers then pay it over to HMRC deducting any VAT they may have paid. Read on and find out more about the thresholds, legal requirements and how to register. How Do You Know (more…)
You can file a Nil VAT Return only in certain circumstances. These are where: Your Business made no sales Your Business made no purchases Even though you have no VAT to pay or transactions to report you must still submit a VAT return as normal. How to File a Nil VAT Return 1 Login Into (more…)
If you impose a late payment charge or interest onto a customer or client who has not paid then you do not pay VAT on this amount, as this is not a VAT-able supply. You’ll need to work out the late payment charge on the gross amount that is outstanding also. If you have agreed (more…)
Congratulations your business growing! But although going from Non VAT Registered to VAT Registered is a milestone for your business, it does bring with it more responsibilities. Here’s the things you need to think about when you make the step from non VAT registered to VAT registered: Let Your Customers Know Once you become VAT (more…)
HMRC sets out special rules that you need to follow for keeping business records when you’re VAT registered. These rules apply whether you are self employed or have a limited company. It is important to make sure you adhere to these rules because without the correct business records HMRC could charge you penalties in the (more…)
When it comes to filling out Box 2 EC Acquisitions on a VAT return there can be some confusion. According to guidelines set out by HMRC, Box 2 on your VAT return should be used to show any VAT on goods purchased from VAT registered business in other EC member states (B2B). Box 2 relates to goods (more…)