VAT Advice and Queries

The specialist consultants here at The VAT People are here to offer you expert VAT advice, and provide simple, effective solutions to even the most challenging VAT-related queries.

With more than 20 years of experience in the industry, we are perfectly placed to assist your organisation with all aspects of VAT planning, regardless of your individual requirements, and help you avoid potentially costly errors. Our team is well-versed in UK VAT regulations, ensuring that your business stays compliant and informed about the latest VAT rules.

What's more, many of our senior consultants have professional experience working within HMRC, and it's this knowledge of the inner workings of the body that means we can provide you with only the most accurate and effective advice. This includes insights into VAT registration processes and how to leverage VAT reliefs to your advantage.

No matter which aspect of VAT you are struggling with, we are happy to help. Whether it's understanding complex VAT opportunities or navigating the intricacies of VAT registration, our experts are here to guide you. Contact us today by calling our free helpline on to the side of this page and we will be in touch.

In addition, we provide a popular VAT health check service that has proved invaluable for businesses that are confused about how much VAT they should be paying. This service is particularly beneficial for those new to VAT registration or seeking to understand the full scope of VAT rules and reliefs available to them.

By requesting our services, you can ensure that your handling of VAT is in line with current legislation, and is working effectively. We can help you to identify any opportunities for saving money, as well as highlight any risk of penalty you are facing. For more info on this, click here.

Undergoing a VAT health check will also show HMRC that you are committed to considering VAT. This will assist to reduce any penalty in the event that HMRC identifies an error at any point in the future.

FAQs

What is the difference between input tax and output tax?

Input tax is the VAT that your business pays on goods or services purchased, which can often be reclaimed from HMRC. Output tax, on the other hand, is the VAT your business charges and collects from customers on your sales. Understanding the distinction and accurately accounting for both is key in your VAT return process, and our VAT advice can guide you through these complexities.

How often do I need to submit VAT returns?

VAT returns are usually submitted quarterly, although there are options for monthly or annual submissions depending on your business circumstances. Timely and accurate VAT return submissions are vital to avoid penalties and manage cash flow effectively. Our VAT team can assist in streamlining your VAT return process, ensuring compliance with HMRC requirements.

What records do I need to keep for VAT purposes?

For VAT purposes, you need to maintain detailed records of sales and purchases, VAT invoices, a VAT account, and all import and export documents, especially if they involve customs duty. These records are essential not only for VAT return submissions but also for any potential HMRC audits. Our experts can provide VAT advice on the best practices for record-keeping, helping you mitigate VAT risks and streamline your VAT processes.

Can I claim VAT back on purchases made before VAT registration?

Yes, you can claim VAT back on certain purchases made before your VAT registration. There are specific time limits: four years for goods you still have or that were used to make other goods you still have, and six months for services. It's important to have proper records and receipts. Our VAT team can provide detailed VAT advice on reclaiming pre-registration VAT.

What are the implications of not complying with VAT regulations?

Non-compliance with VAT regulations can lead to serious consequences, including penalties, interest charges, and in severe cases, legal action. Common issues include late or incorrect VAT returns and underpayment or overpayment of VAT. Our services focus on helping you understand and manage VAT risks, ensuring compliance with all relevant VAT rules.

How does Brexit impact VAT for UK businesses trading with the EU?

Post-Brexit, UK businesses face changes in how VAT is applied to transactions with EU countries. This includes alterations in VAT reporting, customs duty requirements, and the need for additional documentation. Navigating these changes can be complex, and our VAT advice is tailored to help businesses adjust their VAT processes accordingly.

What should I do if I disagree with a VAT decision made by HMRC?

If you disagree with a VAT decision by HMRC, you have the right to appeal. Initially, you can request a review by HMRC, or you can appeal directly to the Tax Tribunal. It's important to act within the specified time limits. Our team can provide guidance and support throughout the dispute-resolution process.

Is it necessary to charge VAT on all goods and services?

Not all goods and services are VAT-chargeable. There are exempt supplies, zero-rated items, and reduced-rate products. Understanding which category your goods or services fall into is essential for correct VAT processing. Our VAT team can offer comprehensive VAT advice to ensure you charge the correct rate where applicable.

How can I improve my business's VAT efficiency?

Improving VAT efficiency involves understanding the full scope of VAT opportunities, such as reclaiming eligible input tax, taking advantage of VAT reliefs, and efficient VAT planning. Our experts can review your current VAT processes and provide tailored advice to enhance your VAT efficiency and compliance.