Skip to main content

This is a new service – your feedback will help us to improve it.

  • Flat rate vat

    Hi I would like ask what classifies as an exemption for flat rate to reclaim vat, i understand it is anything above £250 that's not a regular payment in the business or such as a one off asset? My situation is i have registered for flat rate as my business is a post office and i pay hmrc vat at 5%, my post office income includes my sales which are paid, plus some groups attract standard vat at 20% in my income. So i see this as 15% saving for my business. My purchases are minimal for stationary and greeting cards in the shop. However my rent is payable quarterly and charged to me with vat which almost wipes out the 15% saving on the vat i have mentioned. How should i treat vat applied on the rent payment invoice?