Thinking of leaving the VAT Flat Rate Scheme?

23rd May 2017

Thinking of leaving the VAT Flat Rate Scheme but haven't got round to it yet? Many micro-businesses will be losing the benefit of using the VAT FRS Scheme following the increase in the rate payable by 'limited cost traders' from 1 April 2017. If you are one of those and think that you have missed the boat, don't worry, it may not be too late.

HMRC have confirmed that notification of leaving the Scheme can be backdated to 1 April as long as the return covering that date has not yet been submitted (and is not overdue!) For example if your next VAT quarter date is 30 June 2017, you have until the end of July before the deadline for notifying departure from the FRS. 

You should note though that this only applies if you are moving from the Flat Rate to the Standard Scheme - if you want to deregister completely (and your turnover allows you to) that cannot be backdated.

If you would like to discuss your VAT position in more detail, please contact Alex Koupland on 01273 701200 or alexk@plusaccounting.co.uk

Thinking of leaving the VAT Flat Rate Scheme?

 

Any views or opinions represented in this blog are personal, belong solely to the blog owner and do not represent those of Plus Accounting. All content provided on this blog is for informational purposes only. The owner of this blog makes no representations as to the accuracy or completeness of any information on this site or found by following any link on this site. 

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