Calculating VAT Advice - Tax Tips

Calculating Vat Advicean office that can assist you.
National Advice Service can answer your generalCalculating VAT
questions regarding calculating VAT deficits orCalculating VAT depends on a number of factors.
overpayments, rules, procedures, disclosure ofYour business must charge VAT at one of three
confidential VAT information, VAT rates andrates (standard, 17.5 per cent; reduced, 5 per cent
publications. Additionally, the National Advice Service isand zero rate, 0 per cent.). Additionally, your business
able to assist you with air passenger duty, insuranceis charged a VAT rate, typically the same rate that
premium tax, rebated oils, aggregates levy andyou must collect. The difference between the output
money laundering regulations.and input taxes are what you must pay HMRC upon
What they cannot offer is advice or assistanceyour annual return.
clearing a VAT or other tax debt, the VATIf your taxable turnover is less than ₤55,000
registration process or enquiries about specific VATannually, you need not worry about calculating VAT.
transactions.This is because businesses turning over less than
You can reach the National Advice Service in a₤55,000 per year are exempt from VAT
number of ways. Call their helpline at 0845 010 9000.registration. You may wish to register voluntarily if
If you would like to speak to someone in Welsh, callyou believe there your turnover might exceed
0845 010 0300 Monday to Friday from 8am to₤55,000, the fee for not registering is steep.
6pm.Interpretation services are available for thoseVAT as an Expense
who do not speak English as their first language,Some business situations allow the business owner or
simply tell the advisor when you call. Textphoneaccountant to calculate VAT as an expense of the
service is available if you have hearing difficulties atbusiness. To calculate VAT as an expense, the total
0845 000 0200.VAT paid to C&E during the assessment period
Your VAT registration number and postcode shouldmust exceed the total VAT received from C&E
be available before you call; you will need both ofin the same period. The excess of VAT paid is
these records to receive accurate advice. Selectconsidered an expense.
option one if you have lost your VAT return formShould the situation be reversed, and the total VAT
and do not require additional assistance. Select optionreceived from C&E during the assessment
two if you require VAT or Intrastat publications orperiod exceeds the total VAT paid to C&E
advice. Option three will route your call to an advisorduring the same assessment period, the refund is not
of Excise and Customs taxes as well as landfill tax,counted as a business earning.
climate change levy and another tax categories. YouExpert Advice
will be directed to a VAT advisor if you do not makeIdeally, you should speak to your tax consultant
a selection.before making any changes to your tax calculation
If the advisor is unable to answer your VATmethods. A tax consultant should be able to offer
question, he or she will re-route your call to theadvice accurate for your special needs.
appropriate office or offer the telephone number of