VAT Registration in UK: How to Register and When to Register

by Vidit Agarwal NOMISMA - Excellent Small Business Accounting Soft

Overview of VAT Registration

VAT Registration is very necessary for a person who is running a business. You have to do VAT registration with HMRC, if your VAT taxable turnover is more than £85,000. After the completion of VAT registration, you will get a VAT registration certificate which confirms the following –

VAT Number
Date of Registration
When to submit your first VAT Return & payment detail.

If your VAT taxable turnover is less than £85,000, you can voluntarily go for VAT registration unless everything you sell is exempt.

Read Also: VAT Registration Numbers: Search for Company VAT Numbers in UK

When to Register for VAT?

You have to mandatory register for VAT if your taxable turnover is more than £85,000 or you know that it is about to exceed. You can register for VAT voluntarily too.

There are two types of vat registrations –

Compulsory VAT Registration –

A person has to mandatory go for VAT registration in the following situations –

In case you are expecting your VAT turnover to be more than £85,000 in the next 30 days.
In case your business is having a VAT taxable turnover of more than £85,000 in the previous 12 months.

Voluntary VAT Registration –

In case your business turnover is below £85,000, you can register voluntarily for VAT registration. You must pay VAT to HMRC from the date you get registered under VAT.

How to register for VAT?

Online Registration – Most of the businesses apply for VAT registration online. It also includes partnerships and group of companies registering under one VAT Number.

Using an Agent – You can also appoint an accountant or an agent which helps you in submitting your VAT Returns and deals on your behalf with HMRC.

Getting your VAT Registration Certificate

You will get your VAT Registration Certificate within 30 working days but it may take longer time than that. The certificate will be sent either –