VAT ACCOUNTING PERIOD SET TO EXCEED £1.6M

摘要

My client is using the cash accounting scheme. Over the last six months the turnover of the business has grown substantially and it is anticipated that it will imminently exceed the limit for the scheme. When should my client leave the scheme and how should VAT be accounted for? A business must leave the scheme if at the end of a VAT accounting period the value of taxable supplies (including sale of stock and capital assets but excluding VAT) in the previous 12 months reaches £1.6m.