agr business accountants and advisors

agr business accountants and advisorsagr business accountants and advisorsagr business accountants and advisors

Professional Accounting, tax and business advisors

  • Home
  • Services & Prices
    • Sole Trader & Micro bus
    • Professional Services
  • How this works
    • Our Mission
    • Your Journey
    • Self Employed
    • Book-keeping services
    • Professional Services
    • Our Unique Service
  • Quick Help
    • Self Assessment Payments
    • How to Pay HMRC
    • Interesting Articles
    • Director Salaries
    • Software Stuff
    • VAT Basics
  • Contact Us
  • Forms
    • Info request
    • Self Assessment Info
  • About us
  • More
    • Home
    • Services & Prices
      • Sole Trader & Micro bus
      • Professional Services
    • How this works
      • Our Mission
      • Your Journey
      • Self Employed
      • Book-keeping services
      • Professional Services
      • Our Unique Service
    • Quick Help
      • Self Assessment Payments
      • How to Pay HMRC
      • Interesting Articles
      • Director Salaries
      • Software Stuff
      • VAT Basics
    • Contact Us
    • Forms
      • Info request
      • Self Assessment Info
    • About us

agr business accountants and advisors

agr business accountants and advisorsagr business accountants and advisorsagr business accountants and advisors

Professional Accounting, tax and business advisors

  • Home
  • Services & Prices
    • Sole Trader & Micro bus
    • Professional Services
  • How this works
    • Our Mission
    • Your Journey
    • Self Employed
    • Book-keeping services
    • Professional Services
    • Our Unique Service
  • Quick Help
    • Self Assessment Payments
    • How to Pay HMRC
    • Interesting Articles
    • Director Salaries
    • Software Stuff
    • VAT Basics
  • Contact Us
  • Forms
    • Info request
    • Self Assessment Info
  • About us

VAT Basics - when to register

VAT vs Non VAT

Any business can register for VAT with the HMRC so long as they intend to make VAT supplies to consumers or b2b.  However in some cases businesses are obligated to register for VAT see :

https://www.gov.uk/register-for-vat

Recording VAT transactions

Recording VAT transactions

We are only explaining 23 categories of VAT (Out of Scope for VAT, VAT Exempt transactions and non-registered suppliers). 


Out of Scope

These types of transactions are not included anywhere on the VAT return neither VAT 6 and 7.

e.g.MOT, wages, other taxes, place of supply of service is not in the UK, statutory fees, congestion charge,.

Services supplied abroad also fall under Out of Scope.


Exempt Supplies

These are included in box 6 and 7 but don't impact the VAT due.   Examples of these transactions include:

 e.g. Sporting and PE, education and training, some medecal treatments, financial services, insurances and investments.


Non registered VAT companies/traders

If you are VAT registered and purchase supplies from non registered VAT Companies or Traders you would treat these as exempt supplies - i.e. include them in Box 7 of the tax return but not in boxes 2-5.  


We have not covered guidance here in respect of Zero rates, partially exempt or reverse charges.  This will covered in our advanced section.





Copyright © 2021 AGR ACCOUNTS - All Rights Reserved.


Info@agraccounts.com