VAT Registration - £40.00 plus VAT

What is VAT?

VAT is a tax paid by consumers. VAT is added to the net value of the product or service being purchased. The VAT is collected by businesses on behalf of HM Revenue & Customs and paid over on a regular basis. As the tax is not on the business but on the goods and services it can also be reclaimed by a VAT registered buyer after purchase by completing a VAT return each quarter. VAT charged on sales is known as output VAT and on purchases as input VAT.

The standard rate for VAT is currently 15%, although this is a temporary reduction until 1st January 2010 when it is expected to revert to 17.5%.

There are three types of supply:

• Standard-rated: 15% with a reduced rate for domestic fuel and power at a rate of 5%
• Zero-rated: for example children's clothing, books, medicines
• Exempt: for example insurance, postal services, betting

For a complete list of goods and services by VAT rate please visit HM Revenue and Customs website.

Why register for VAT?

Anyone in business whose taxable supplies exceed a certain limit (currently £67,000) must register for VAT. This includes sole traders, partnerships and limited companies. Taxable supplies are all goods and services which are sold or supplied and liable to VAT, whether or not you are registered for VAT. If your turnover for the previous 12 months is over the current threshold, or may go over the threshold in the next 30 days, you must register for VAT. Therefore, turnover should be reviewed on a regular basis.

You can also register voluntarily for VAT even if your value of taxable supplies is below the threshold. Once registered for VAT you will have to charge VAT on your products and services. If your customers are mainly non-VAT registered (ie individuals) then registering for VAT will mean that your customers will be paying more. However you will be able to reclaim your input tax on purchases. You will need to consider very carefully whether there are any advantages to your business in registering for VAT.

How to register?

We provide an Online VAT Registration service, so there are no complicated forms to complete. The process can take 2-3 weeks for a VAT Registration number to be issued. Once we receive your order we will email you a questionnaire to complete. Simply complete our questionnaire and submit it back to us electronically, then we will complete the registration for you. We will keep you updated on the progress of your application until you are registered with your VAT Registration number.

How much does it cost?

The service costs £40.00 + VAT.

How do I proceed?

Click the "place order now" button to take you to our secure online ordering page. Here you can pay by credit card or alternatively by invoice. Once your payment has been processed you will then receive an email with a short questionnaire for you to complete. We require answers to these questions in order to process your application correctly.

Company Formations | Trademark UK Company Formation | Company Registrations | Links | UK Company Registrations | Limited Company Formation | Shareholders Agreement | Return to Company Registrations Homepage