VAT help, someone explain it to me bluntly and simply please!

SalonGeek

Help Support SalonGeek:

This site may earn a commission from merchant affiliate links, including eBay, Amazon, and others.

Emii

Member
Joined
Jul 6, 2016
Messages
7
Reaction score
0
Location
South west
Hey everyone anyone have any idea about VAT?!?!
Driving me and my hubby mad we're both on different pages here.

Think he's hit Vat now with his business so trying to work this out,
He thinks vat gets charged on everything so his expenses get put into his gross and gets taxed....not sure I'm explaining this I'll try put it bluntly.

Gross earnings, expenses, both added together and that figure goes forward to be taxed instead of gross income take off expenses then that net figure gets taxed....

As you can see I'm so confussed google is confusing me ever more we're both tired and biting at each other now ‍♀️ someone pls help me [emoji21]
 
hi
To check whether you need to register for vat, you add all your sales for the last 12 months. If this figure is £85,000 or more, you need to register.
You do not include your expenses in this calculation.

When you are registered for vat, you owe HMRC the vat you have charged clients on your sales but you can also reclaim the vat you have suffered on your expenses.

Hope that helps.
 

Latest posts

Back
Top