VAT Preparation

You may think that VAT is quite simple.  You collect VAT from your customers, claim it back on your business expenses and pay the difference to HMRC.  Sounds simple, doesn’t it?

However, there’s a lot more to it than that.  Depending on what your business does and how it operates, there are a number of different schemes that could help you to control your cashflow more efficiently, including:

  • Annual accounting
  • Cash accounting
  • Flat rate schemes
  • Retail schemes
  • Margin schemes for second-hand goods, art, antiques.

We can help you to choose the correct scheme for your particular circumstances.  We can also help you to get to grips with the complex rules that could lead to you paying too much (or not enough) VAT:

For example:

Working from home – Can you claim back a proportion of the VAT on your telephone, broadband, utility bills etc? What proportion can you claim? What about furniture and decoration?

Mobile phones – Are you separating out personal and business calls before you claim back the VAT?  What about your staff?

Entertainment – If you take a potential client out for lunch, can you reclaim the VAT?  What about the staff Christmas party?

These are just a few of the common VAT questions that business owners face. Getting it wrong can be costly, with penalties ranging from 15% of your total VAT liability (in the event of a genuine mistake) to 100% (if you try to cover up a mistake or deliberately claim back VAT that you’re not entitled to).

Because we take the time to get to know your business, T A Gittins & Company will help you to ensure that you’re on the right VAT scheme, claiming for the right things (and not claiming for the wrong ones) and that your returns are filed accurately and on time to avoid costly penalties and surcharges.

Contact us to find out more about how we can help you to grow your business and arrange a free, no obligation interview with one of our professional advisors.


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