There are three different rates of VAT. They are:
Standard Rate 20% on most goods and services
Reduced Rate 5% some goods and services including home energy
Zero Rate 0% covers non-luxury items such as food and newspapers
Once you are registered for VAT you have to file regular VAT returns with HMRC. These are normally done every quarter. If you use our fast VAT registration service we will file the first VAT return with HMRC for you.
Once you are VAT registered you have to provide VAT invoices for items that you sell. These need to include a breakdown of the cost of each item you are selling, how much VAT is being charged on each item and the total including VAT. We can provide you with specialist bookkeeping software which can be used to create VAT invoices.