VAT Accounting Services
Confidence in every submission.
VAT (Value Added Tax) is very complex area of tax with constantly changing regulations. Navigating VAT can be tricky and VAT shouldn’t feel overwhelming.
For many business owners, VAT is one of the most stressful parts of running a company. VAT doesn't have to be complicated. Whether you’re new to VAT or need support with ongoing VAT reporting, our specialist accountants help SMEs in Coventry navigate registration, returns and complex schemes with ease and confidence.
Whether you're approaching the £90,000 registration threshold or looking for expert guidance on cash accounting or the flat rate scheme, we're here to make your obligations simple and stress-free.
Are you struggling with:
Fear of VAT mistakes and HMRC penalties?
Uncertainty about when to register for VAT?
Not knowing which VAT scheme is right for you?
Feeling buried in VAT admin instead of growing your business?
VAT payments catching you off guard and disrupting cash flow?
Doubts about whether your bookkeeping and VAT numbers are correct?
VAT is more than just submitting a return. You deserve accountants who deliver expert VAT accounting services so you can focus on growing your business with confidence.
Stay VAT compliant
Accurate VAT returns submitted on time, with everything handled properly to avoid penalties and HMRC issues.
Gain Financial Clarity
Understand your VAT position clearly, improve cash flow, and make confident business decisions without uncertainty.
Enjoy Peace of Mind
No more last-minute VAT panic, just calm, organised systems and expert support you can rely on.
You’re not alone. Most business owners don’t struggle because they’re doing something wrong, they struggle because VAT is complex and they’re trying to manage it alongside everything else.
That’s where we come in.
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Do I even need to register for VAT?
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What VAT scheme is best for my business?
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I’m scared I’ve made mistakes in my returns
04
VAT payments always catch me off guard
05
I don’t have time to keep up with HMRC rules
Why Choose us
as your VAT accountant?
We protect your profits and wellbeing by making sure your VAT position is always optimised, stress-free and fully compliant. Common VAT pain points we solve.
If you’ve ever thought…
• What is VAT and who needs to register?
VAT is a tax added to goods and services sold by registered businesses. The current registration threshold is £90,000 (as of 1st April 2024), meaning businesses with a taxable turnover exceeding this amount in a rolling 12-month period must register with HMRC. This applies to both Limited Companies and Sole Traders.
• When do I need to register for VAT?
As soon as your turnover hits £90,000, or you anticipate it will within the next 30 days, you must register. Our specialist accountants can help you determine if voluntary registration might benefit your business, even if you're below the threshold.
• Should I voluntarily register for VAT before hitting the threshold?
Voluntary registration can be beneficial if you have significant VAT-reclaimable expenses, work primarily with VAT-registered businesses (B2B), or want to appear more established. However, it also means additional admin and potentially higher prices for non-VAT registered customers. We'll analyse your specific situation to advise whether early registration makes financial sense.
• What happens if I miss the VAT registration?
Failing to register for VAT on time can result in penalties and backdated charges. If you've exceeded the £90,000 threshold, contact us immediately. We can help you register quickly and potentially minimise penalties through proper disclosure to HMRC.
• Can I reclaim VAT on expenses before I was VAT registered?
Yes, in certain circumstances. You can typically reclaim VAT on goods purchased up to four years before registration (if you still have them) and on services purchased up to six months before registration. Our accountants will help you identify all eligible pre-registration VAT claims.
• How do I register for VAT?
Need to get a registration number? AccountingBliss guides you through the entire process.
To register, you'll need:
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Your business name and industry sector
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Company Registration Number (for limited companies)
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UTR (Unique Taxpayer Reference) number
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Bank account details for payments to HMRC
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Details of your business turnover and planned scheme
Once registered, you'll receive your unique registration number, which you'll need to display on all invoices. We'll help you set up your bank account, ensuring smooth payments to HMRC and maintaining compliance from day one.
• How do I know which VAT scheme to register for?
Not all schemes are created equal. As experienced accountants, we help you choose the most tax-efficient option for your circumstances:
• Standard VAT scheme
The traditional approach where you charge tax on sales and reclaim on purchases. Best for businesses with significant reclaimable expenses. You'll pay HMRC the difference between what you've charged and what you've paid.
• VAT flat rate scheme
Simplifies accounting for businesses with turnover under £150,000. Instead of calculating the tax on every transaction, you pay a fixed percentage of gross turnover. This flat rate scheme can reduce admin time significantly and, depending on your industry sector, may result in lower payments.
• Cash accounting VAT scheme
Ideal for businesses managing cash flow. With cash accounting, you only account for the tax when you've received payment from customers or paid suppliers, improving cash flow for businesses with long payment terms. Available to businesses with turnover under £1.35 million.
• VAT annual accounting scheme
Lets you make advance payments throughout the year based on estimated annual turnover, with just one return to complete annually. This reduces administrative burden and helps budget payments. Best suited to businesses with stable turnover who don't regularly reclaim significant amounts.
• VAT margin scheme
A specialist option for businesses buying and selling second-hand goods, works of art, antiques, or collectibles. You only pay tax on your profit margin rather than the full selling price, which is particularly beneficial for resellers and dealers.
Our VAT specialists will analyse your business model, cash flow needs, and typical transaction types to recommend the most advantageous VAT scheme. We'll handle the application process and ensure you're set up correctly from the start.
• VAT returns and Making Tax Digital compliance
Returns are your quarterly report to HMRC showing how much tax you've charged on sales and paid on purchases. Most businesses submit returns every three months, with the deadline falling one month and seven days after the end of your accounting period.
Under Making Tax Digital (MTD), all registered businesses must now:
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Keep digital records using compatible accounting software
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Submit returns through MTD-compatible software
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Maintain digital links between different parts of your accounting system
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Store records for at least six years
AccountingBliss uses cloud-based accounting software that's fully MTD compliant. We'll integrate this software into your business operations, ensuring every return is submitted accurately and on time. To log in to your account with HMRC, you'll use your Government Gateway credentials – we can help you set this up if you haven't already.
• How do I pay VAT?
Once you’ve calculated your liability, it’s essential to pay HMRC on time to avoid penalties and interest. The payment deadline is the same as your return deadline — one month and seven days after the end of your accounting period.
HMRC offers several approved ways to pay.
Full guidance is available on the official government website.
Pay VAT by direct debit (Recommended)
The simplest and most reliable option. Once set up through your online account, HMRC will automatically collect the payment three working days after the deadline. This reduces the risk of late payment and provides extra flexibility with cash flow.
Pay VAT by bank transfer or online banking
You can also pay by transfer, including Bacs or CHAPS. When transferring, you’ll need HMRC’s bank account details and include the correct payment reference:
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Sort code: 08 32 10
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Account number: 12001039
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Account name: HMRC VAT
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Payment reference: Your 9-digit registration number
Using your registration number as the payment reference ensures HMRC allocates the payment correctly. Bank transfers typically take up to three working days, so plan ahead to avoid penalties.
• How do I change my VAT bank account details with HMRC?
To update your VAT bank account details, you'll need to notify HMRC through your online account or by calling the Helpline. We can handle this process for you and ensure the new bank account for payments is set up correctly to avoid payment issues.
• What is partial exemption and does it affect my business?
Partial exemption applies when your business makes both VAT-able and VAT-exempt supplies. This affects how much you can reclaim on overhead costs. Our specialists can help you calculate your partial exemption position and optimise your recovery where possible.
Get Expert VAT Support Today
Whether you need help with registration, choosing between cash accounting and the flat rate scheme, or simply want peace of mind that your returns are accurate and optimised, AccountingBliss is here to help.
Our specialist accountants serve SMEs across Derby, Coventry, and the wider Midlands region. Contact us today for a free consultation and discover how expert accounting can save you time, reduce stress, and potentially lower your tax bill.
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