Small businesses urged to consider ‘cash basis’ VAT scheme

When using the Cash Accounting Scheme you only pay VAT on your sales when your customers pay you and reclaim VAT on your purchases only once you have paid your suppliers.

The Cash Accounting Scheme is available to VAT registered traders if your estimated VAT taxable turnover during the next tax year is not more than £1.35 million. You can continue to do so until your VAT taxable turnover reaches £1.6 million.

For information on VAT please do not hesitate to contact us to discuss your business.