If you are a small business you may be better off on the flat rate VAT scheme rather than the standard scheme.

Under the flat rate VAT scheme, you use a flat rate percentage to work out how much VAT you
need to pay to HMRC each quarter. This percentage is determined by the industry you are in.

The flat rate scheme can save you a lot of time and hassle as you don’t have to record VAT on sales and purchases separately.

More details are here:


If you would like us to work out if you are better off using the standard or Flat rate VAT scheme click here.