VAT Returns

At Cheylesmore Accountants, we take pride in offering tailored accountancy services to businesses all across the United Kingdom. Our VAT Returns assistance is one of our specialties, and we're excited to share with you why and when a VAT return is needed, along with how our team can provide invaluable support to ensure a hassle-free experience, all in compliance with UK law.

What is a VAT return?

vat return accountants

A VAT return is a regular tax report submitted by VAT-registered businesses to HM Revenue and Customs (HMRC) in the UK. It summarises the VAT collected from customers and the VAT paid on business expenses during a specific period. The return helps calculate the net VAT liability or refund due to the business.

Why and When a VAT Return is Needed?

As a business operating in the UK and registered for VAT, you're required by law to submit regular VAT returns to HM Revenue and Customs (HMRC). These returns provide a detailed breakdown of the VAT collected from your customers (output tax) and the VAT you paid on your business expenses (input tax) during a specific accounting period, usually every quarter.

Here's why these VAT returns are so important:

  1. Legal Compliance: Meeting your VAT obligations is not just a best practice, it's a legal requirement. Submitting accurate and timely VAT returns to HMRC is vital to stay on the right side of the law and avoid unnecessary penalties.

  2. Tax Calculation: VAT returns help you calculate the net amount of VAT you owe to HMRC or are eligible to reclaim. By calculating the difference between output tax and input tax, you determine your VAT liability or potential refund.

  3. Transparency: Transparent financial transactions are crucial. VAT returns provide HMRC with insights into your business's VAT affairs, ensuring compliance with tax regulations and maintaining trust in your operations.

  4. Input Tax Reclaim: Through VAT returns, you can reclaim the VAT you paid on your business expenses, reducing your overall tax liability and keeping your costs in check.

When a VAT return is due depends on the accounting period you've chosen for your business. Most businesses go for quarterly returns, but some may prefer monthly or annual returns.

How Cheylesmore Accountants Can Assist:

We understand that managing VAT returns can be a complex and time-consuming process. That's where our team of dedicated experts steps in to provide seamless assistance and peace of mind. Here's how we can help:

  1. VAT Registration: If your business's taxable turnover surpasses the VAT registration threshold (currently £85,000), we'll guide you through the VAT registration process, ensuring everything is handled accurately and efficiently.

  2. VAT Planning and Advice: Our experienced accountants will offer personalised VAT advice to help you choose the best VAT scheme for your business. Whether it's the Flat Rate Scheme, Cash Accounting Scheme, or Annual Accounting Scheme, we'll find the right fit for your needs.

  3. Accurate VAT Return Preparation: Rest assured, we'll meticulously compile all your financial records, accurately calculate your VAT liability, and prepare your VAT returns. With our attention to detail, errors are minimised, and your returns are filed on time.

  4. Digital VAT Filing: Adhering to the Making Tax Digital (MTD) requirements, we're well-versed in digital accounting software such as Xero, making the process of submitting your VAT returns a breeze.

  5. VAT Inspection Support: If HMRC decides to inspect your VAT records, don't worry. We'll be right there to assist, ensuring your records are in order, and the inspection process runs smoothly.

Frequently asked questions…

  • In the UK, if you are registered for VAT, you are generally required to submit a VAT return to HM Revenue and Customs (HMRC) even if you haven't made any sales or have zero VAT activity during a specific accounting period. Filing a VAT return allows you to report your zero-rated or exempt supplies and claim any VAT on business expenses you may be eligible to reclaim. It is essential to meet your VAT obligations and submit the VAT return on time, even if there is no VAT liability for that period.

  • If your VAT return is late in the UK, you may face penalties, interest charges, and increased scrutiny from HMRC. It's essential to file on time to avoid these consequences.

  • Accountants handle VAT returns with expertise, saving time, ensuring compliance, offering tax planning advice, and providing audit support. Hiring one streamlines the process and enhances financial efficiency.

Easy your stress by using Cheylesmore Accountants VAT return service

VAT returns need not be a source of stress for your business. With Cheylesmore Accountants by your side, managing your VAT obligations becomes a breeze. Count on us for reliable and professional assistance that keeps your business compliant with ever-changing VAT regulations. Let's work together to make VAT returns simple and ensure your financial success.

Happy vat return client

Contact us.

info@cheylesmore.com
(02476) 017-778