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Registering for VAT may be beneficial

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Registering for VAT may be beneficial

You dont need to hit the threshold to register for VAT, you can do this volunatarily.

Why? Your business may benefit from it.

Basically, a business will pay VAT on all purchases it makes (known as ‘input tax’) and then charge VAT on all sales it makes (known as ‘output tax’). If a VAT-registered business receives more output than input tax in a VAT period, it will pay the difference to HMRC, otherwise the HMRC will refund the difference if the business pays more VAT than it receives.

Check with us to see if this applies to you.