The following Value Added Tax guidance note Produced by Tolley provides comprehensive and up to date tax information covering:
This document should be used in conjunction with this Checklist ― VAT review ― output VAT when either undertaking a VAT review or completing the VAT return. Business may also wish to undertake an input tax review at the same time and more information can be found in the VAT review ― input tax guidance note and the Checklist ― VAT review ― input tax template.
The introduction of MTD should enable businesses keeping digital records to have better control of invoices, expenses and payments made and received. HMRC hopes that MTD will reduce the number of mistakes and errors made by businesses. Businesses currently moving onto MTD may find the information below useful when checking that the digital records are accurate and are producing the correct VAT return information.
See the Making Tax Digital ― signing up for MTD and Making Tax Digital ― VAT ― returns and compliance guidance notes for more information.
Businesses must ensure that they issue a valid tax invoice to all relevant customers. More information can be found in the Tax invoice requirements guidance note.
If the business issues electronic invoices then they must ensure that these invoices meet the relevant requirements outlined in the Electronic invoicing guidance note.
If the business has agreed with its customer to issue self-billed invoices then they must ensure that the relevant conditions are met. More information can be found in the Self-billing guidance note.
It is necessary, even for business signed up for MTD to ensure that transactions are accurately recorded in their books and records and for all information that digitally feeds into the VAT return figures is complete and accurate. Details of the most common issues that businesses need to consider when undertaking a VAT review or completing a VAT return can be found below.
The business must ensure that it records its transactions in the books and records so the amounts are included in the correct VAT return period and that
**Free trials are only available to individuals based in the UK. We may terminate this trial at any time or decide not to give a trial, for any reason.
Access this article and thousands of others like it free for 7 days with a trial of TolleyGuidance.
Read full article
Already a subscriber? Login
IntroductionUK tax must be withheld on UK payments including:•interest•royalties•rental incomeWithholding tax may be reduced under double tax treaties (DTT) or European directives, both of which may be subject to making a formal claim.This guidance note outlines the rules for UK withholding tax, and
Normal due dateSmall companies (including marginal relief companies) are required to pay all of their corporation tax ― nine months and one day ― after the end of the chargeable accounting period.For example, where a chargeable accounting period ends on 31 December 2018, the due and payable date for
Expenditure of a capital nature is not allowed as a deduction when calculating trading profits. Expenditure of a revenue nature is allowable, provided there is no specific statutory rule prohibiting a deduction and the expenditure also satisfies the wholly and exclusively test. See the Wholly and
The rent-a-room scheme was introduced in the early 1990s to encourage homeowners to take in lodgers.Fundamentally, the rent-a-room scheme is a relief which means that the rent received by an individual from a lodger (up to a prescribed limit) can be exempt from income tax. If the gross rents are
To view our latest tax guidance content, sign in to Tolley Guidance or register for a free trial.