{"id":3245,"date":"2012-03-19T09:43:56","date_gmt":"2012-03-19T09:43:56","guid":{"rendered":"http:\/\/startups.co.uk\/?p=3245"},"modified":"2024-05-29T14:54:10","modified_gmt":"2024-05-29T14:54:10","slug":"when-do-you-need-to-register-for-vat","status":"publish","type":"post","link":"https:\/\/startups.co.uk\/tax\/when-do-you-need-to-register-for-vat\/","title":{"rendered":"What is the VAT threshold for 2024 and when do you need to register for VAT?"},"content":{"rendered":"

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The VAT registration threshold since 1st April 2024 is £90,000<\/strong>. This has replaced the previous threshold of £85,000, which had been fixed in place since 2017.<\/p>\n <\/div>\n <\/div>\n[vc_column_text]Understanding the VAT threshold is a crucial part of getting your small business accounting<\/strong><\/a> in order. VAT is a tax charged by VAT-registered businesses on most goods and services in the UK (and some services that are imported from other EU countries.)\n

A common question business owners ask themselves is do I need to register for VAT<\/a>? And the answer depends mostly on turnover.<\/p>\n

If your taxable turnover has exceeded £90,000 (the new threshold in place since 1st April 2024) you’ll need to become a VAT-registered business. This means you must charge customers VAT on top of the sales price of your goods or services, and submit regular VAT returns to HM Revenue & Customs.<\/p>\n

You can also become a VAT-registered business voluntarily<\/a> to obtain some of the benefits. For instance, if a VAT-registered business is charged VAT when it buys goods or services, it can generally reclaim the VAT it has incurred.<\/p>\n

But the real question here is — when should you do all of this? Don’t worry, we’ll cover all you need to know below.<\/p>\n

Don’t miss a detail when doing your VAT returns – especially since the ruling of the new ‘Making Tax Digital<\/a>‘ laws, you’ll need to choose accounting software you can rely on. We’ve reviewed a few of the best below:<\/strong>[\/vc_column_text]<\/p>

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