Marcus Carter
Joined: 8/28/2023
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Will I have to pay back reclaimed VAT if I deregister?
Hi! I voluntarily registered for VAT in April when I started my business as I knew that I had a lot of purchases to make that I wanted to reclaim the VAT on. I now don't have any further large purchases to make and I fall well under the VAT threshold. I am continuing my business but my question is, if I deregister from VAT now will I then have to pay back the VAT I reclaimed? For example. I bought a van that I use and will continue to use for my business. I paid £13,000 inc VAT and reclaimed the £2000 VAT. If I deregister now will I be forced to repay that £2000 to HMRC? Many thanks for any advice!
Name removed admin . -
Deregistering from VAT, will I need to pay back reclaimed VAT on purchase?
Hi! I voluntarily registered for VAT in April when I started my business as I knew that I had a lot of purchases to make that I wanted to reclaim the VAT on. I now don't have any further large purchases to make and I fall well under the VAT threshold. I am continuing my business but my question is, if I deregister from VAT now will I then have to pay back the VAT I reclaimed? For example. I bought a van that I use and will continue to use for my business. I paid £13,000 inc VAT and reclaimed the £2000 VAT. If I deregister now will I be forced to repay that £2000 to HMRC? Many thanks for any advice! Marcus.