Google adsense VAT

[DaveBrian]

Hi there.

I have just started working as an affiliate, and I can now see some results on google adsense. My simple question is if I have to pay VAT on that revenue?

 

[faradaykeynes]

not until your commission income reaches 77k

 

[DaveBrian]

ok so that is 77k yearly right?

seems like a real bummer to hit 77k and have to pay VAT on something that comes with no added VAT.

 

[faradaykeynes]

yes that's 77k per annum

 

[jon.jenkins@smartaccounta]

Just remember it is £77k at present and that is for a rolling 12 month period not your financial year or the tax year.

 

[DaveBrian]

ah okey thanks

 

[David Griffiths]

not until your commission income reaches 77k

That could be misleading. It's not clear if the OP has any other income coming in that would be subject to VAT. If he does, then it's the total income that is taken into account, not just the commission income.

 

[spicetheice]

Hi there.

I have just started working as an affiliate, and I can now see some results on google adsense. My simple question is if I have to pay VAT on that revenue?

As I had mentioned in one of my previous posts, no VAT necessary till at least 75k - 77k. You are functioning as a small business and hence are exempt from VAT till this extent. However, it is good to forecast how much you might earn in a financial year. It will help you to understand if you have to register for VAT or not.