Please enable JavaScript.

Coggle requires JavaScript to display documents.

VAT Part I (Scope of VAT (Taxable Supplies (Reduced rated (Taxable at…

- - - - Taxable at reduced%
      - Can recover input VAT
      - Eg fuel for domestic use
    - - Taxable at 0%
      - Can recover input VAT
      - All supplies except zero rated reduced rated or exempt
    - - Can recover input VAT
      - Taxable at 0%
      - Eg Food, books and newspaper
  - - - Cannot Recover input VAT
      - Eg financial services and insurance
      - NOT Taxable
- - - - Reasonable grounds for believing
        that the value of taxable supplies will exceed 85,000 in the next 30 days
      - Notify within 30 days of end of month
      - Registration is effective
        
        End of month OR
        
        Earlier date
    - - Notify within 30 days of end of month
      - Taxable supplies (excl. VAT) exceeds 85,000 in any period of up to last 12 months
      - Registration is effective
        
        End of month OR
        
        Earlier date
  - - - Avoid penalties for late registration
      - can recover Input VAT
      - impression of substantial business is given
    - - Increased administration
      - Increased cost for non-registered customers
      - Penalties if VAT/return is late
- - - - Notify HMRC with in 30 days of ceaing
      - VAT registration is cancelled
        
        Date of cessation, OR
        
        mutually agreed earlier date
  - - - Date of request, OR
      - mutually agreed later date
- - - - Performed in last six months
      - Business purpose services only
    - - Goods acquired in last 4 years
      - Should still be in inventory
- - - - Single VAT return
      - Flexibility to join/leave group
      - No VAT on intra-group supplies
    - - Administrative difficulties - collecting info
      - Individual Limits - now apply on whole group