A calculator, notebook and glasses on a desk

VAT touches almost everything a business sells and buys, and the rules on rates, schemes and reclaiming are full of detail. Mistakes compound quarter after quarter and attract penalties. We take VAT off your plate, from working out whether you need to register, through choosing a scheme, to filing each return correctly and on time.

When do you have to register for VAT?

You must register for VAT if your VAT-taxable turnover goes over the registration threshold of £90,000 in any rolling 12-month period, or if you expect to pass it within the next 30 days. You can also register voluntarily below that figure, which can make sense if you want to reclaim VAT on your costs or if your customers are themselves VAT registered.

The threshold has been £90,000 since April 2024, but figures like this can change, so we check the current threshold and your rolling turnover against GOV.UK before advising. Registering late, or registering when you did not need to, can both be costly, which is why it pays to get the timing right.

Which VAT scheme is right for you?

There is no single way to account for VAT. The right scheme depends on your size, your margins and how you trade:

Common VAT schemes

Standard accounting

VAT accounted for on invoices issued and received, the default approach.

Flat rate scheme

A fixed percentage of turnover, which simplifies records for some smaller businesses.

Cash accounting

VAT accounted for when you are actually paid, which can help your cash flow.

There are also annual accounting and margin schemes for particular situations. We look at your figures, recommend the scheme that leaves you better off and keeps the admin manageable, and revisit it as your business changes. It is the same practical approach we take to small business accounting as a whole.

Scheme choice matters: the wrong scheme can cost real money over a year. It is worth getting a view rather than defaulting to standard accounting out of habit.

Making Tax Digital for VAT

All VAT-registered businesses must now follow Making Tax Digital for VAT: keeping digital records and filing returns through compatible software, rather than typing figures into the HMRC portal. If you are not yet set up for this, we can move you onto suitable cloud accounting software and make the transition painless. Our dedicated Making Tax Digital page explains what is changing more widely.

  • Registration done right, We assess whether and when to register, and handle the application.
  • Accurate quarterly returns, Returns prepared from your records and checked before submission.
  • VAT reclaimed properly, Input VAT recovered where it is allowed, with the common pitfalls avoided.
  • Deadlines met, Filing and payment dates tracked, so you avoid penalties.

How we run your VAT

1

Review and register

We check your turnover and trade, advise on registration and set up the best scheme.

2

Prepare each return

We reconcile your records, settle any queries and prepare the return for the quarter.

3

File and remind

We submit through MTD-compatible software and tell you what to pay and when.

VAT support for Newcastle and North East businesses

From hospitality and retail to e-commerce and the trades, we handle VAT for businesses across Newcastle, Gateshead, Sunderland and the wider region. VAT sits naturally alongside your bookkeeping and year-end accounts, so where we look after those too, your returns are faster and the figures reconcile cleanly.