Value Added Tax - The tax businesses love to hate

Value Added Tax (VAT) is widely recognised as a minefield of complex and ever-changing EU and UK legislation, case law and official practice.

And as a self-assessed tax, you are expected to understand and keep up to date with how VAT impacts on your business activities.

But with your maximum efforts being put into running the business, it’s not surprising that VAT sometimes gets overlooked.

Whilst the basic concept of VAT is simple for certain businesses, numerous pitfalls abound for many. In particular, those involved in negotiating with the tax authorities, construction, land or property transactions, partial exemption, finance and insurance, education, buying or selling a business, imports and exports, cross-border trading and charitable activities, need an even greater awareness of VAT complexities.

With early and careful planning it is frequently possible not only to avoid the pitfalls, but also to boost profits by minimising VAT payable or maximising VAT recoverable.

For further information on how to deal with VAT and meet your obligations, please view the VAT section of our online publication Saving Tax, or contact us for a copy of the leaflet.

For further information on how to deal with VAT and meet your obligations, please contact Alan Buckett, Head of VAT Services for advice on your specific circumstances.