You are using an outdated browser. Upgrade your browser today for a better experience of this site and many others.
Request a Call back
Book a Free Consultation
Switch to MG Group
Refer a Friend
Write a Review
The current VAT percentages and the annual registration and deregistration thresholds.
Registered businesses charge Value Added Tax (VAT) on their sales. This is known as output VAT and the sales are referred to as outputs.
Similarly VAT is charged on most goods and services purchased by the business. This is known as input VAT.
There are three rates: standard which applies to most goods and services, reduced rate for some goods and services such as home energy and zero rate goods and services, for example, most food and children's clothes.
Some supplies are exempt from VAT for example postage stamps, financial and insurance transactions.
A business is required to register for VAT if the value of taxable supplies exceeds the annual registration limit.
Standard: 20%
Reduced: 5%
Annual Registration Limit (1.4.25 to 31.3.26): £90,000
Annual Deregistration Limit (1.4.25 to 31.3.26): £88,000
Book a FREE consultation
Request a call back
Switch now!
Email us
07 Oct 2025
Chancellor Rachel Reeves has been urged to cut National Insurance contributions (NICs) and increase Income Tax to create a 'level playing field' and protect workers' pay.
The government's Budget Board must focus on easing the cost of doing business, says the Institute of Directors (IoD).
Chancellor Rachel Reeves will look at fixing the cliff edges in business rates that can discourage small business investment and growth, according to a report from HM Treasury.
Please feel free to get in touch via phone email or our quick contact form.
We offer initial free consultations simply contact us to find out more.