flat rate vat

[julie boik]

if you are on a flat rate scheme ie, 12%. does the new VAT rate of 15% affect the flat rate percentage that you pay.

[KM-Tiger]

Yes, the new rates are on page 43 of this document (http://www.hmrc.gov.uk/pbr2008/vat-guide-det.pdf).

Good old HMRC, always easy to find the information!

[MyAccountantOnline]

if you are on a flat rate scheme ie, 12%. does the new VAT rate of 15% affect the flat rate percentage that you pay.

Dont forget if your VAT return is for a period including the 1 December you will need to use the old flat rate % and the new % from 1 December.

[winelight]

And to complicate matters further, don't be surpised if the rate for your sector hasn't changed - some have remained the same. Actually that simplifies matters, really!

[Christiane]

and if you pay monthly, the direct debit will not change. Payment will be adjusted at year end.

[MyAccountantOnline]

and if you pay monthly, the direct debit will not change. Payment will be adjusted at year end.

You dont pay monthly for the flat rate - I think you are thinking of annual accounting.

If you use the flat rate scheme you complete a VAT return each quarter and pay the actual amount due each quarter.

[3pic]

It is possible to operate the flat rate scheme and annual accounting at the same time so that a fixed deduction is taken each month.

[stphnstevey]

Or each quarter - best of both worlds!