Sole trader & vat

[Dctheblue]

Hi
I'm a sole trader currently earning below the vat threshold I am looking at spending 10-12k +vat on a new van in the new year. Is it worth me registering for vat? Looked into the simplified vat. Could I still claim vat back on the van if I went down this route. Majority of my sales are to vat registered companies so wouldn't have any effect on increased prices. Also I supply little in the way of materials mainly labour only
Thanks in advance

[RMC]

Yes, if you register for Flat Rate Scheme, whereby you have to calculate only output VAT as a percentage of gross turnover, you can still claim input VAT on purchases of capital assets costing £2000 or more.

[les35]

And don't be tempted to deregister for VAT quickly, as you would effectively have to repay the VAT claimed, under the 'deemed supply' rules.