Sakura’s VAT services make complex VAT issues simple. Value-added tax (VAT) must be paid by a limited company when their business reaches the threshold of £85,000 in turnover. VAT can be a complex tax and even small breaches can lead to significant interest and penalties being applied by Revenue. It is important for accountancy professionals to have a strong working knowledge of all aspects of VAT law.
VAT can be difficult to navigate and some businesses are taken by surprise when they end up owing money from the VAT they have charged. Working with an accountant who understands all aspects of VAT inside out can facilitate issues.
Your business’s VAT accounting services is calculated based on the full value of what you sell. Even if you operate on an exchange or part-exchange basis, you must charge VAT on sales. If you charge a customer without including VAT, HMRC will still consider the sales price you charge to be VAT inclusive.