VAT Studio Services

If you are a new business owner, or if you are running a trading company then you may be unaware of the potential penalties that come with failing to register for VAT . Keeping track of VAT registered customers can seem like an overwhelming task, but it isn't as difficult as it seems. You simply need to use a few simple tricks and tools in order to keep on top of your sales and purchases so that when tax time comes around, you aren't surprised by a hefty bill. What is a VAT penalty? A VAT penalty is a penalty that is assessed to a taxpayer who has failed to comply with the requirements imposed on him or her under the Value Added Tax law. A VAT penalty is often imposed in cases where the taxpayer willfully, negligently, or recklessly fails to comply with the requirements imposed on him or her by the Value Added Tax law. A VAT penalty cannot be applied if there are extenuating circumstances such as natural disasters or other similar events that caused the failure to comply. Why

If you are running an online business, at some point, you might need to file a VAT Return. Businesses that trade across borders are required to charge VAT on their products and services, unless they have an exemption. This means that, if you sell to customers in the EU, you will need to charge VAT on your products and services. If you do not register for VAT, you could be liable for a fine. Here are some things you should know about VAT: VAT is charged on all supplies of goods and services in the UK, except for a few specific exemptions. If you make supplies of goods or services that are subject to VAT, you must register for VAT if your turnover exceeds the registration threshold. You may have to register even if your turnover is below this amount, but it will depend on the circumstances. Who is liable for VAT? You are the person liable for VAT if you: ● Carry out business activities in the UK, even if you’re not established here (known as ‘non-established taxable persons’) ●