Accountant for VAT Return

 

Are you looking for VAT Accountants in ilford or near by , look no further S K Punia Accountants can assist you with VAT return and VAT advice. VAT is a complex tax which affects most businesses and organisations. If you are start up S K Punia Accountant can help you decide whether you need to register for VAT from the beginning. We will continue to monitor your situation if it changes and it becomes  obligatory for your business to register for VAT, we can deal with all your registration process.

We will also keep an eye if registering voluntary will benefit you or other way around if deregistering will help you.

We will also look at the VAT schemes you are eligible for and establish if you would be better off switching to different VAT scheme.

Different VAT schemes leads to tax savings and reduction in bookkeeping cost.

We use market leading softwares to file VAT return which help to keep electric records and easier to manage your bookkeeping.

Your local S K Punia Accountant will prepare your VAT return from your bookkeeping records and will make sure claim as much VAT as possible following HMRC guidelines.

It is important to note late VAT registration, error in VAT return filling and late payments of Vat return can lead to penalties and interest being charged. Allowing S K Punia Accountant to take care of your VAT return will allow you to save money on penalties and interest and peace of mind.

Whether it’s completing and submitting quarterly VAT returns or considering the implications of specific transactions, getting it wrong can be a costly mistake. S K Punia Accountant know enough about your business to anticipate risks and opportunities.

When does a small business need a VAT Return registration ?

VAT registration threshold is £85,000. This is worked out from the company year end. You must register if in the next 30 days you will go over the threshold. 

When is VAT return due ?

Most small businesses opt in for quarterly VAT return. VAT return is due 1 month and 7 days from your VAT quarter end date.

What is the difference between the VAT schemes ?

There are mainly three types of VAT Schemes

  1. Standard VAT scheme 

  2. Flat rate Scheme

  3. Cash Accounting VAT scheme

What is standard VAT scheme ?

 

The Standard VAT scheme is method of reporting VAT where VAT is charged on issue of invoice instead of actual receiving or paying the cash. You would report the Sales invoices VAT and Purchase invoices VAT. The difference between sales VAT and Purchase VAT will be paid to HMRC.

What is Flat rate Scheme ?

This scheme would give an incentive to ear additional revenue.

In Flat rate scheme you will charge VAT to customers as you would have charged under standard rate. The difference occurs when you do the reporting to HMRC.

You will not be claiming Purchase invoice VAT return. Instead you will claim flat rate. For example.

You issued a invoice to customer for £100.00 plus 20% VAT which is equal to £120.00

When you filling your VAT return. You will calculate the VAT return amount on £120.00 x 12.5%= £15.00

To HMRC you will pay £15.00 and from customer you have collected £20.00 which gives you earning of £5.00

HMRC Flat rate scheme rates were reviewed recently, It does not provide much earning or saving on tax.

What is Cash Accounting VAT Scheme ?

In cash VAT accounting scheme, you report VAT on sales paid invoices and reclaim vat on your purchases when you actually have paid your suppliers. This is the only difference between standard rate where you was paying and claiming on invoice date.

To join the scheme your VAT estimated turnover must be £1.35 million or less.

Other restriction on the scheme includes which do not allow you to join the scheme

  • You payment terms of Sales VAT invoices must not exceed 6 months or more

  •  Importing goods from within the EU

  • Moving goods outside a customs warehouse

VAT Return S K Punia Accountant