Once your turnover reaches £85k (the VAT threshold for the 2017/18 tax year), it’s compulsory for your business to register for VAT – find out more about Value-Added Tax (VAT) here
When you hit the VAT threshold, you’ve got 30 days to register. From your date of registration, you must start charging 20% VAT on your invoices – and also have to start collecting these taxes to pay to HM Revenue & Customs (HMRC) on a quarterly basis.
For example, if your revenue exceeds £85k in the 12 months between Feb 2017-Jan 2018 then you’d register during February, with your date of registration being from 1 March 2018. From that 1 March 2018 date, your invoices must include that VAT element.
If you want to know more about registering for VAT, give us a call on 01454 300 999, or drop an email to email@example.com