VAT Returns Service

At DS Burge & Co, our team of VAT accountants can help you with everything from becoming VAT registered through to preparing and submitting your small business VAT returns to HMRC.

If you need VAT advice and guidance, we’re also here to support you. Whether you want to talk through the benefits and requirements for becoming VAT registered, the different VAT schemes available, or want to understand how VAT is applied to services or products in the UK and abroad, we can help.

Let us help remove the administrative burden and stress of filing your small business VAT returns so that they’re submitted on time every time.

 

What is a VAT return?

If you’re a VAT registered business, you are required to submit a VAT return to HMRC. In a nutshell, your VAT return will take the VAT you’ve charged on your invoices to customers and minus the VAT you can reclaim for your applicable business expenses.

Your VAT return is, therefore, a calculation of how much VAT you are required to pay or be reimbursed by HMRC.

 

Deadline for VAT Returns?

The VAT return deadline is typically every quarter. The deadline for filing and payment is 1 month and 7 days after the end of each quarter.

Some businesses submit VAT returns and pay their VAT annually. If you are in this boat, your deadline is 2 months after the end of your VAT year. Do bear in mind that this can be different from your accounting year.

If you miss any deadlines or make any mistakes, it could result in a penalty being charged by HMRC as well as interest on any resulting late VAT payment. Naturally, we recommend you use our VAT return service to help stay on top of deadlines and ensure you pay the correct amount to HMRC.

 

Do I need to register for VAT?

There are two reasons to register for VAT, compulsory registration and voluntary registration.

  • Compulsory registration: if your company’s VAT taxable turnover is greater than £85,000 you must register for VAT by law
  • Voluntary registration: is available for your company if your turnover is below £85,000

There are a number of reasons you may wish to voluntary register for VAT, for example, you can reclaim VAT on qualifying purchases made by your businesses.

It also makes sense for some businesses to register for VAT in advance of meeting the threshold requirements. For example, if your projected taxable turnover will meet the £85,000 within the next 30 days, or if your company wants to set pricing and accounting processes factoring for VAT.

 

How to register for VAT?

If your company’s VAT taxable turnover is greater than £85,000 you must register for VAT.

VAT registration for your business can be completed online. This applies to both compulsory VAT registration and voluntary VAT registration. If you appoint us as your accountant, we can register your business with HMRC. As your agent, we can also submit your VAT returns.

 

Does VAT apply to all products or services sold?

Not all services, products or customers you invoice will have VAT charges levied. Similarly, some of your business costs and expenses may be exempt or zero-rated for VAT.

We can help guide you, and when it’s time to file, we can ensure that you don’t overpay (or underpay) the amount you owe to HMRC.

 

Is there VAT on Services in the UK?

If your business is based in the UK, and you meet the VAT threshold then it is highly likely that all services your company sells will need to have VAT levied.

Please get in contact with one of our VAT accountants to confirm your specific requirements.

 

Is there VAT on Services outside the UK?

VAT charges that you need to levy for businesses and individuals outside of the UK varies. Please read our VAT on International Transactions resource to read up on the latest guidance.

 

Do I have to submit my VAT return Digitally?

Since the 1st April 2019, if your business is over the VAT threshold, HMRC have insisted on VAT returns to be submitted digitally, as part of the government “making tax digital” (MTD) scheme.

 

How DS Burge & Co takes the stress out of your VAT Return?

  1. If you’re not currently VAT registered, we can look at the relevant VAT schemes your business is eligible for. We’ll discuss the advantages of each scheme with you, and then get your business VAT registered.
  2. Most small businesses manage their bookkeeping internally, using “Making Tax Digital” compliant software. If you opt for this route, then we can help advise where you’re required to invoice VAT, as well as which expenses you can claim the VAT back on.
  3. At the end of every quarter (or relevant accounting period), we’ll be in touch to ask if your accounting software is up-to-date, and that all relevant transactions for the quarter in question have been recorded and reconciled.
  4. If you opt for our bookkeeping services we’ll take care of the invoicing and reconciliations for you. We’ll also double-check if there are any additional transactions or expenses that we’re unaware of that need to be accounted for.
  5. We’ll review your accounts, making sure everything is in order, and compute your figures. Where possible we’ll make recommendations to lower your VAT liability, then we’ll submit your VAT return electronically to HMRC.
  6. We’ll also let you know the total VAT bill you owe, along with the relevant payment deadline.
  7. Typically, clients opt for VAT to be taken by HMRC by direct debit, but you may choose to pay by an alternative method such as bank transfer.
  8. As with other areas of tax, we can act on your behalf for any correspondence with HMRC – even if they request a VAT inspection.