VAT services London

VAT services in London

Ensure total HMRC compliance with our expert VAT registration, calculation and  Making Tax Digital (MTD) submission services in London.

Stress-free, compliant VAT management for growing businesses.

• MTD compliance: filing via Making Tax Digital (MTD) approved software

• VAT registration: register your business for VAT with HMRC smoothly

• Scheme optimisation: choosing Flat Rate, Cash or Standard VAT

• Accurate calculations: verifying input and output VAT to avoid errors

• HMRC submission: filing returns on time to prevent late penalties

Value Added Tax (VAT) is a consumption tax levied on most goods and services provided by VAT-registered businesses. It is collected at each stage of production & distribution. While the final consumer pays the tax, businesses are responsible for reporting and remitting it to the government (HMRC), making VAT an indirect tax that impacts both consumers and businesses. In the UK:

- the standard VAT rate is 20%, applicable to most goods and services

- a reduced rate of 5% applies to specific items, including children's car seats and energy-saving materials

- zero-rate (0%) vat is for most food, books and children's clothing

- items such as postal stamps and some financial or property transactions are exempt from VAT altogether

In the UK, businesses must register for VAT if their total taxable turnover exceeds £90,000 (the VAT threshold) in the last 12-month period or if they anticipate reaching this threshold within the next 30 days. Failure to comply may result in penalties so staying aware of these thresholds, monitoring the turnover and registering promptly is essential to ensure compliance with tax regulations.

A VAT Return is a form submitted to HM Revenue and Customs (HMRC) detailing the amount of VAT charged and the amount of VAT paid to other businesses. Typically, it must be filed to HMRC every three months, known as your 'accounting period.' Even if there is no VAT to pay or reclaim, submitting a VAT return is mandatory for all VAT-registered businesses.

The deadline for submitting the return online is typically one calendar month and seven days following the end of an accounting period. This is also the deadline for remitting payment to HMRC. It is essential to ensure sufficient time is allocated for the payment to be processed and credited to HMRC’s account to avoid penalties. Plan ahead to meet these critical dates effectively.

VAT deregistration is the cancellation of a business's VAT registration wiith HMRC. This results in the cessation of VAT charges on sales and the inability to reclaim VAT on purchases. Businesses can request HMRC to cancel their VAT registration if their taxable turnover is below £88,000 unless they and their business are outside the UK or they supply goods/services to  the UK (or expect to within 30 days). But they must do so if they are ineligible for VAT registration: they cease trading, stop making VAT taxable supplies or join a VAT group. They must cancel it within 30 days of becoming ineligible to avoid potential penalties.

At JT Bookkeeping & Accounts, we specialise in comprehensive VAT services, including VAT registration,  VAT return submission and VAT cancellation. Contact us today and let us handle all your VAT needs.