vat returns & advice
VAT is a complex tax and dealing with it correctly can save your business thousands of pounds, however, getting it wrong can be very costly.
Ascentive offers a full VAT service, from completing your businesses VAT Returns and submitting them to HM Revenue & Customs on your behalf to providing advice on whether VAT registration is right for your business, what HM Revenue & Customs VAT schemes can save your business money and advice on complex transactions.
VAT Registration is compulsory for businesses that exceed the VAT Registration threshold. However careful consideration should be given to VAT registration. Registering at the right time has the potential to save your businesses thousands of pounds. Ascentive can advise on VAT Registration and when and if it is right for your business.
Once registered for VAT you want to minimise your VAT liability, we advise all businesses who work with us on HM Revenue & Customs VAT schemes and whether they are right for their business. Including:
VAT Flat Rate Scheme
The VAT Flat Rate Scheme (VAT FRS) is available to small businesses. The VAT FRS not only can make it easier for small businesses to calculate their VAT liability it can also produce a VAT saving. We review whether the VAT FRS is beneficial for all our small business clients.
VAT Cash Accounting
The VAT Cash Accounting scheme allows a business to pay VAT when it has received payment and recover VAT when they have made payments to their suppliers. Using the cash accounting scheme can result in a cash advantage for your business and we can discuss the potential benefits of the scheme with you.
VAT Annual Accounting
Do you like to spread the cost of your bills rather than pay in one lump sum? Do you also like to know when and what you are paying? If so the VAT Annual Accounting scheme may be for you. Using this scheme you pay the VAT owed throughout the year in nine equal instalments based on last years VAT liability and are only required to submit one annual return cutting down on the admin.
VAT Standard Accounting
The VAT standard accounting may be right for your business. Under the standard VAT accounting scheme, you pay and recover VAT based on when you raise and receive invoices. Giving careful consideration to the standard VAT accounting scheme your business can benefit from. Ascentive advises all our clients on whether standard VAT accounting is right for their business.
VAT On Overseas Transactions
If you sell goods or services to customers outside the UK then the rules on whether you should or shouldn’t charge VAT are complex. Ascentive can advise and provide reassurance that you are charging VAT correctly. If you sell digital or telecommunication services and products we can also advise on how VAT MOSS would help your business meet its VAT obligations.
VAT DIY Scheme
If you are in the process of developing your own home or converting from a commercial property you can recover the VAT you are charged on building materials by submitting a VAT DIY (Do It Your-Self) to HM Revenue & Customs. You want to ensure you maximise the VAT you can recover and ensure you are not charged VAT incorrectly. Ascentive can provide advice and complete the necessary paperwork on your behalf.
VAT Partial Exemption
If you provide some standard rated and exempt supplies your business is partially exempt. We can advise on the de-minimis rules and ensure you apportion your input VAT correctly to maximise your recoverable VAT and minimise your VAT cost.
VAT In Construction
If you work in the construction industry VAT can be complex and we can advise to ensure you charge and are charged the correct rate of VAT. We advise a number of businesses in this sector to ensure they deal with their VAT correctly and don’t pay any more VAT than they need to.
Making Tax Digital - What Is Making Tax Digital (MTD)
The first phase of Making Tax Digital was introduced in April 2019.
The vast majority of VAT-registered businesses with a taxable turnover above the VAT threshold (£85,000) are now required to follow the Making Tax Digital rules by keeping digital records and using MTD compliant software to submit their VAT returns.
Making Tax Digital Software
Business records will need to be kept in a digital cloud based format and submitted to HMRC using MTD compliant software every quarter.
We have partnered with the best online accounting packages such as Xero, QuickBooks Online and FreeAgent. At Ascentive we can provide expert advice and support on the best option for your business to ensure that you are MTD compliant. We also provide training and assistance on how to use the software and maximise the benefits it can offer.
Advantages of using online accounting software:
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It’s safe and secure.
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Run your business finances anytime, from anywhere, on any device.
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Real-time collaboration with us, your advisers.
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No installation or IT maintenance required.
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Pay as you go and no up-front costs.
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Real-time view of business performance.
Next Steps
Now is the perfect time to start reviewing existing book-keeping processes and software to ensure that they are compliant with MTD regulations.
Ascentive can help advise you on the changes that may be necessary to your processes and systems and can advise on the most appropriate MTD software for your business to ensure compliance. We can also provide you with an online software package.