If you are VAT registered already you may dread the quarterly return but if your Book Keeping is up to date and accurate, there is no need to! We can handle all the reporting you will need and complete the form ready for you to sign and submit on time.
If you are not already VAT registered but feel you may need to be, we can help you through the process and put systems in place to make the paperwork easier for you.
VAT is a tax that you pay when you buy goods and services in the European Union (EU), including the United Kingdom. Where VAT is payable it's normally included in the price of the goods or service you buy. Some goods don't attract VAT.
When do you pay VAT and how much?
Each EU country has its own rates of VAT. In the UK there are three rates.
Standard rate
You pay VAT on most goods and services in the UK at the standard rate, currently 20 per cent.
Reduced rate
In some cases, for example childrens car seats and domestic fuel or power, you pay a reduced rate of five per cent.
Zero rate
There are some goods on which you don't pay any VAT, like:
· food
· books, newspapers and magazines
· children's clothes
· special exempt items - for example equipment for disabled people
How VAT is worked out
When someone charges you VAT they multiply the original ('net') price of the item or service by the VAT rate to calculate the amount of VAT to charge. They then add the VAT amount to the net price to give the 'gross' price - the price you pay.
VAT on bills and receipts
Most retail prices on bills and receipts include VAT - it is not shown separately. However some may have a line under which they show the VAT element. This doesn't mean you're being charged extra - it just shows how much of the price is made up of tax.
Non-retail invoices from VAT-registered suppliers (for example from builders or painters and decorators who are VAT registered) must show a separate amount for VAT. They must also show the 9-digit VAT registration number of the business.
How to check if a VAT number is valid
To check whether a UK VAT number is valid you can call HMRC's National Advice Service on 0845 010 9000. Lines are open 8.00 am to 8.00 pm Monday to Friday.
You can also check European Union VAT numbers online.
If you suspect a VAT fraud
If you suspect that a firm is avoiding paying VAT, or of charging VAT when they aren't VAT registered, you can report them in confidence on the Customs Confidential hotline, 0800 595 000, open 24 hours, seven days a week.
You don't have to give your name or any personal details.
Businesses that may not charge VAT
Businesses with annual sales below £77,000 (2012-2013) don't have to register for (and therefore charge) VAT, but they may choose to do so voluntarily. If they don't, the price you pay for their goods or services may be cheaper than if you bought the same goods or services from a VAT-registered Business
Tel: 01932 349 106
Fax: 01932 325 359
Email:
accounts@numericsplus.co.uk
