Your company must register for VAT if its sales are more than £82,000 in a 12 month period. However you can also voluntarily register for VAT if your sales are below this level.
If you reach the turnover threshold and you fail to register your company, HMRC can levy penalties against the business. Once you are VAT Registered you must add an additional 20% onto your sales invoices – this isn’t additional sales but tax you will collect on behalf of HMRC (Output VAT). When your company pays for something, it may be charged VAT on these purchases (Input VAT).
Once a quarter Gorilla Accounting will calculate Output VAT - Input VAT to determine a VAT liability. This is reported to HMRC on a VAT Return and any amount due is paid to HMRC. At Gorilla Accounting, we often recommend our clients voluntarily register for VAT, even when turnover is below the threshold. By registering immediately, you will have access to the advantages of the Flat Rate Scheme for VAT.
The Gorilla Accounting team prepare VAT Returns on behalf of clients. All you are required to do is to submit through FreeAgent and pay any amount due to HMRC each quarter. This can even be arranged to be paid via direct debit.
If you’re ready to take the next step and form your limited company, get in touch with a member of our New Business Team by calling
"Nabeel has consistently gone the extra mile when I have had enquiries, which is what I need and expect. I don't understand the nuances of accounting so sometimes I don't know what I don't know, therefore I need my accountant to be proactive.”Ronnie
“I think I have been given one of the best people to help me with my accounts - Lauren. She is so helpful and gives very good advice.”Michael
“Since moving to your business, I have been extremely impressed. The quality of service is a million times better than my last accountant. I’m specifically impressed by the speed people get back to me and my accountant doesn’t over complicate it.”Andrew
"I am so pleased I switched. The service from Gorilla is exceptional, they all work to a very high standard. Gorilla is a really great accountancy service and I would give 11 out of 10 if I could!"Jaspal
“This is the 3rd accounting firm I am using and I am finally happy as things are done properly, on time and without mistakes or lapses. I am also quite happy that it is the same accountant that answers all my queries.”Manuel
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Unit B Lostock Office Park
Bolton BL6 4SG
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