Spring Budget; VAT Registration and De-registration Thresholds

As part of the Spring Budget it was announced that both the VAT registration and VAT de-registration thresholds will increase in line with inflation. As of 1st April 2017, the UK VAT registration threshold will increase from £83,000 to £85,000 whereas the corresponding de-registration threshold will rise to £83,000 from the current level of £81,000. As such, the registration and de-registration thresholds for EU acquisitions will also increase in line with the VAT registration threshold.

These changes will effect small businesses who trade around these threshold levels and it is expected that up to 4,000 businesses will not be required to register for VAT in the 2017-2018 financial year due to these changes.

If the value of your businesses taxable turnover/EU acquisitions is around these revised thresholds, please call our free VAT helpline to find out how you will be affected.

Get in Touch