How to make the most of your VAT registration - part 3 Annual Accounting Hello The first of these articles appeared on the Lime Consultancy website and the second on this blog. In the last two notes I wrote about the Flat rate scheme and the Cash Accounting scheme. This time I want to tell you about the Annual Accounting scheme. The VAT Notice you will need for this scheme … [Read more...] about How to make the most of your VAT registration – part 3
accounting
New Notice on keeping VAT records
Keeping VAT records On 22 June 2015 HMRC published an updated version of Notice 700/21: Keeping VAT records dated June 2015 to replace the October 2013 edition. HMRC indicates that an additional paragraph has been added to section 2.2. This additional paragraph refers suppliers of digital services to the guidance on VAT MOSS. When you go to read the notice you will find a … [Read more...] about New Notice on keeping VAT records
VAT – Prompt Payment Discounts
VAT - Prompt Payment Discounts On 22 December 2014 HMRC published Revenue & Customs Brief 49/14: VAT - Prompt Payment Discounts to provide guidance on applying the prompt payment discount rules when they come into effect on 1 April 2015. The guidance in the Revenue & Customs Brief covers: what a supplier has to do, offering two options: issue a credit … [Read more...] about VAT – Prompt Payment Discounts
What’s the new VAT Fraction?
Now that the new rate of VAT is here I'm being asked: what is the new VAT fraction? The new VAT fraction is 20/120 or 1/6. Why is this important? It's an easy way to work out how much VAT there is in a VAT inclusive amount. For example, you buy some note pads and box of pens from the stationers. You pay £24.00 and get a till receipt that shows just the two items, note … [Read more...] about What’s the new VAT Fraction?
Notes for the newly registered business – Part 2
Notes for the newly registered business This is the second post in this series. Last time we looked at definitions. Now lets move on to accounting for VAT. Accounting for VAT How to get ready to do your VAT return Preparing to do your VAT return is something that you should do regularly during each VAT period. This means that you need to enter your sales invoices in your … [Read more...] about Notes for the newly registered business – Part 2