Commentary

VATA 1994 s 26B; SI 1995/2518 Part VIIA

Tax tables
Tax tables | Commentary

VATA 1994 s 26B; SI 1995/2518 Part VIIA

Tax tables | Commentary

Flat rate scheme

VATA 1994 s 26B; SI 1995/2518 Part VIIA

The flat rate scheme is a simplification measure which enables businesses to calculate their net tax due by applying a flat rate percentage to their tax inclusive turnover, (the total turnover generated, including all reduced, zero rate and exempt income). The flat rate percentage will depend upon the trade sector into which a business falls for the purposes of the scheme

Turnover limits

Taxable turnoverTotal turnover*
25.4.02–9.4.03£100,000£125,000
10.4.03 onwards£150,000£187,500

* This limit was removed with effect from 1 April 2009.

Flat rate percentage

Table of rates applicable until 31 December 2003

Category of businessFlat rate percentage
Retail of food, confectionery, tobacco, newspapers or children's clothing5
Postal and courier services6
Public house
Agriculture not elsewhere listed6.5
Membership organisation7
Retail of goods not elsewhere listed
Wholesale of food or agricultural products
Retail of pharmaceuticals, medical goods, cosmetics or toiletries8
Sport or recreation
Retail of vehicles or fuel
Wholesale not elsewhere listed
Manufacture of food8.5
Library, archive, museum or other cultural activity
Printing
Vehicle repair
Packaging9
General building or construction services
Social work
Agricultural services
Rental of machinery, equipment, personal or household goods9.5
Manufacture of textiles or clothing
Forestry or fishing10
Other manufacture not elsewhere listed
Mining or quarrying
Personal and household goods repair services
Photography
Publishing
Transport, including freight, removals and taxis
Travel agency
Hotels or accommodation10.5
Advertising11
Animal husbandry
Manufacturers of fabricated metal products
Investigation or security
All other activity not elsewhere listed
Veterinary medicine
Waste and scrap dealing
Estate agency or property management11.5
Secretarial services
Entertainment, excluding television, video and film production12
Financial services
(With effect from 1.5.03)

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