Question:

Company VAT question

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which provision or purchase of services/goods would be a Co. be liable for VAT taxation on even if not that Co. is not VAT registered?

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2 ANSWERS


  1. Your question is not that clear as to what you are asking.  However I shall do my best.  If the company is not VAT reg then they will not be allowed to charge VAT on any goods/services provided.  They will not be able to reclaim any VAT incurred in the purchase of any supplies either.  You should check your turnover carefully to ensure it is not above the threshold at which it would have a legal obligation to register.  The company can also apply to be voluntarily registered for VAT if below the threshold which is worth considering.  I would check the hmrc website for further info.


  2. Every purchase that carries VAT. If you are not VAT registered you have to pay VAT on all purchases but cannot claim it back, or charge VAT on sales. So it would normally be a company with very little VATable purchases.
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