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Where Taxpayers and Advisers Meet

Ltd VAT or just LTD

Papeek
Posts:5
Joined:Wed Aug 30, 2017 5:23 pm
Ltd VAT or just LTD

Postby Papeek » Wed Aug 30, 2017 5:43 pm

Hi everyone. At first sorry for my horrible English.

I am about to register LTd company based in England however im not sure if i need to register it with VAT or without VAT to write so coz what conserns me rhe most is VAT threshold. I am not resident of a UK. My business bank account will be in croatia. No goods will enter or leave UK. My clients are suited in croatia paying croatia's VAT as well and they goona pay my services for advertising, branding, drawing, reparing product etc... now i have read something about VAT threshold which is 85000 gbp (someone correct me please if im wrong). Main question is am i eligible for UK VAT or i dont have to worry about it for example what happens if issue reciepts for 100 000 gbp

I found this "You must register for VAT if: your VAT taxable turnover is more than £82,000 (the 'threshold') in a 12 month period, you receive goods in the UK from the EU worth more than £82,000 or you expect to go over the threshold in a single 30 day period.

There's no threshold if neither you nor your business is based in the UK. You must register as soon as you supply any goods and services to the UK (or if you expect to in the next 30 days). You may have to register for VAT if you take over a business that's already registered."

les35
Posts:635
Joined:Wed Aug 06, 2008 3:09 pm

Re: Ltd VAT or just LTD

Postby les35 » Thu Aug 31, 2017 8:30 am

If you have no business establishment, and make and receive no supplies in the UK, you cannot register for VAT here.
You should speak with your local Accountant to discuss where you should or can register for VAT.
What you have read is out of date (the threshold is not £82k), and seems to be out of context.
On your final point, if you make supplies of goods in the UK, there is no threshold. But you said you do not sell in the UK.

Papeek
Posts:5
Joined:Wed Aug 30, 2017 5:23 pm

Re: Ltd VAT or just LTD

Postby Papeek » Thu Aug 31, 2017 4:01 pm

Thanks for your time for answering me. However i have a 2nd small question. Doubt. So for example.... London based address ( off shore office ) and incorporated LTD. I want this simply coz i dont have to pay out salary every month to myself or do i have to ? (coz i am not sure if my business will run smoothly) For example a Croatian based LTD ( d..o.o.) the owner has to pay out himself monthly minimal wage defined by law as well as social insurance, health care, etc. which are all taxable in Croatia. As im already employed i am paying everything so i dont want to be double taxed so now i am thinking to open a UK LTD company for my side job work or so.

to conclude...so basicaly there is now threshold for my UK LTD coz s i live abroad and as well i am not a citizen of UK, even my bank account will be outside of UK. I have no intention to deliver any goods to UK. (Maybe ill export something)

however what bothers me the most is for example.... what happens if u succed to make for example 45 000 GBP through my UK LTD company and what happens if i make 260 000 GBP.... how much hof this mentioned amounth is taxable as my salary or any other tax. Do i have to register for paye and hmrc ?

Sincerely, mr. Already Confused

les35
Posts:635
Joined:Wed Aug 06, 2008 3:09 pm

Re: Ltd VAT or just LTD

Postby les35 » Thu Aug 31, 2017 5:08 pm

If you set up a UK company, you will not be required to register for VAT; see my previous post. But you will have to submit Accounts to Companies House. You do not have to pay a salary here, so you do not have to register for PAYE.

Papeek
Posts:5
Joined:Wed Aug 30, 2017 5:23 pm

Re: Ltd VAT or just LTD

Postby Papeek » Fri Sep 01, 2017 1:45 pm

I have a small question. Do you mind to help me out ? Please do forward to me a address i mean where do i have to post original receipts for check for annual taxation.

Feedback
Posts:351
Joined:Thu Feb 23, 2012 10:26 am

Re: Ltd VAT or just LTD

Postby Feedback » Fri Sep 01, 2017 2:00 pm

you don't need to forward receipts, you just need to keep them to hand so you can justify the figures you include on your tax return. You should keep your records for at least 6 years, although HMRC (the tax authority in the UK) do have the power to look as far back as 20 years.

Papeek
Posts:5
Joined:Wed Aug 30, 2017 5:23 pm

Re: Ltd VAT or just LTD

Postby Papeek » Fri Sep 01, 2017 2:19 pm

But i do have to send a bank statement for my accounts for past 12 months ?

Papeek
Posts:5
Joined:Wed Aug 30, 2017 5:23 pm

Re: Ltd VAT or just LTD

Postby Papeek » Fri Sep 01, 2017 2:25 pm

To whom and how will i send this bank transactions proof ?


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