Re: VAT Limit for New Internet Business.

In article <bemc0r$gq0$>,
(Stephen) wrote:

> Regarding reaching the VAT threshold of turnover per
> annum..
>
> What exactly does the law say regarding "having" to
> register for VAT. I do not want to register....so does the
> law say you have to register if your.... TOTAL ACCRUED
> turnover then reachest the threshold UNDER the year.....
>
> Or is it just enough that the RATE OF TURNOVER is above
> the threshold......
>
> Eg. if the threshold is 52K per year..and your turning
> over £1,500 per week, would they force you to register>
..........
>
> Or could you turn over £1,500 per week and not register
> UNTIL or UNLESS you reached the maximum.

The law says that if the value of your taxable supplies in
the last 12 months has exceed £56,000, you have to register
for VAT. It also says, that if, in the next thirty days,
you expect to make supplies of more than £56,000, you have
to register immediately.

There are no pro-rating clauses. It's all or nothing. You
could start a business today, turnover £2,000 per week for
26 weeks, and then have next to nothing for the rest of the
twelve months, so need to register. Alternatively, if you
turned over £4,000 per week, you'd have to register after 9
weeks trading.

See Schedule of the Value Added Tax Act 1994, as amended;-)
Best wishes


Robert Killington
visit www.vatark.co.uk
for help with VAT

To e-mail me please do so via my web site.

Ronald Raygun <> wrote in message
news:QTDPa.8739$...
> Robert Killington wrote:
>
> > The law says that if the value of your taxable supplies in
> > the last 12 months has exceed £56,000, you have to register
> > for VAT. It also says, that if, in the next thirty days,
> > you expect to make supplies of more than £56,000, you have
> > to register immediately.
> >
> > There are no pro-rating clauses. It's all or nothing. You
> > could start a business today, turnover £2,000 per week for
> > 26 weeks, and then have next to nothing for the rest of the
> > twelve months, so need to register. Alternatively, if you
> > turned over £4,000 per week, you'd have to register after 9
> > weeks trading.
>
> E&OE, eh?

Ronald, during my years with my small manufacturing business, before I moved
it to Eastern Europe, where it is right now, awaiting to start
production.....I got very lax, and had all my accounts done by a person who
was a close freind of mine. This was wonderful as I did not have to do
anything, but it has turned out to be a bit of a clanger on my part.

As now I am forming various other small businesses, and intend to operate
the polish self contained business, and then my uk business will be
purchasing from my polish ltd company (Spolka Zo.) I will have one big head
ache when it comes to getting everything correct.

However, one thing I know very very well, and thankfully I have a clear
understanding about, is NOT TO EVER FALL FOUL OF THE VAT LAWS or the VAT
REGULATIONS!

I have had one vat inspection, and it was perfectly fine, no problems at
all, but, I have heard stories of what can happen to other people who have
fallen foul of regulations even through no bad intention, and I understand
they are just merciless, that is it, they will close you down, bankrupt you,
or whatever, they are five times worse than the tax authorities.

So, before I get my business network all turning over money, I am definitely
definitely definitely going to have every single scrap of paper documented
in the correct place, and every i dotted, and every t crossed.

If I have learned anything in my last few years, it is the value of
accounting and good record keeping....and just having good intentions is not
allways enough....

So many cases I've seen where good and decent people get in messes, not
through bad intentions but just through lack of knowledge.....and they
allways use the rule....."ignorance is no excuse".

I'm thinking of such businesses, that get fined heavily and penalties
etc.etc.
>

Stephen wrote:

> If I have learned anything in my last few years, it is the value of
> accounting and good record keeping....and just having good intentions is
> not allways enough....

YesSS!

So in fact what you are now saying is that accounting and bookkeeping
are the main cornerstones of business and therefore of the economy,
pushing sales and marketing to amongst the also-rans.

It was just a matter of time before you saw the light.

Ronald Raygun <> wrote in message
news:VYHPa.9109$...
> Stephen wrote:
>
> > If I have learned anything in my last few years, it is the value of
> > accounting and good record keeping....and just having good intentions is
> > not allways enough....
>
> YesSS!
>
> So in fact what you are now saying is that accounting and bookkeeping
> are the main cornerstones of business and therefore of the economy,
> pushing sales and marketing to amongst the also-rans.
>
> It was just a matter of time before you saw the light.

NOw thats definitely not fair...I did'nt see that comming..... in actual
fact, yes, accounting and more to the point...the element that I know I need
to control totally before I try to move forward with my own
enterprises.......and I don't know what exact name you give to it..

"making managerial decisions based upon the financial projected
quantifiables" Eg. Entreprenuerialship is the raw ingredients, but without
the "controlling and assigning quantifiable information to all that is done,
then there is no way to know what is profitable or what is the most
profitable...

And this is the "element" that matters the most at the stage I am comming
to..or any business making the jump from small to medium sized business...

That is when the power of the pen and the desk, become important.......thats
when that is sometimes more important than the "doing"...because the desk
and pen can tell you if the "doing" is going to make you a profit or make
you a loss......

Not to mention keeping away problems with the Gov Authorities..

So I have to say yes they are very very important...one of the basic
importnat elements.
>

In message <QTDPa.8739$>, Ronald
Raygun <> writes
>Robert Killington wrote:
>
>> The law says that if the value of your taxable supplies in
>> the last 12 months has exceed £56,000, you have to register
>> for VAT. It also says, that if, in the next thirty days,
>> you expect to make supplies of more than £56,000, you have
>> to register immediately.
>>
>> There are no pro-rating clauses. It's all or nothing. You
>> could start a business today, turnover £2,000 per week for
>> 26 weeks, and then have next to nothing for the rest of the
>> twelve months, so need to register. Alternatively, if you
>> turned over £4,000 per week, you'd have to register after 9
>> weeks trading.
>
>E&OE, eh?
>
<chuckle>
--
Keith

On Fri, 11 Jul 2003 23:35:45 +0100, "Stephen"
<> wrote:

>
>Robert Killington <> wrote in message
>news: pulink.co.uk...
>> In article <bemc0r$gq0$>,
>> (Stephen) wrote:
>>
>> > Regarding reaching the VAT threshold of turnover per
>> > annum..
>> >
>> > What exactly does the law say regarding "having" to
>> > register for VAT. I do not want to register....so does the
>> > law say you have to register if your.... TOTAL ACCRUED
>> > turnover then reachest the threshold UNDER the year.....
>> >
>> > Or is it just enough that the RATE OF TURNOVER is above
>> > the threshold......
>> >
>> > Eg. if the threshold is 52K per year..and your turning
>> > over £1,500 per week, would they force you to register>
>> .........
>> >
>> > Or could you turn over £1,500 per week and not register
>> > UNTIL or UNLESS you reached the maximum.
>>
>> The law says that if the value of your taxable supplies in
>> the last 12 months has exceed £56,000, you have to register
>> for VAT. It also says, that if, in the next thirty days,
>> you expect to make supplies of more than £56,000, you have
>> to register immediately.
>>
>> There are no pro-rating clauses. It's all or nothing.
>
>Thankyou very much for clarifying that. This might sound strange, however, I
>have found that question, difficult to get answered....I have been told
>before that if your "rate of turnover" is above the weekly threshold rate
>(that would keep you just under the yearly limit) you would have to
>register.
>
>
>
>
> You
>> could start a business today, turnover £2,000 per week for
>> 26 weeks, and then have next to nothing for the rest of the
>> twelve months, so need to register.
>
>
>Thats brilliant, you've answered the question superbly, thats exactly the
>straight and clear kind of answer...that is really appreciated...
>
>
> Alternatively, if you turned over £4,000 per week, you'd have to register
>after 9
>> weeks trading.
>
>I understand your point clearly....
>
Can you explain it to me then?


Peter Saxton from London

Keith <> wrote in message
news:f6yg1pBem5D$...
> In message <QTDPa.8739$>, Ronald
> Raygun <> writes
> >Robert Killington wrote:
> >
> >> The law says that if the value of your taxable supplies in
> >> the last 12 months has exceed £56,000, you have to register
> >> for VAT. It also says, that if, in the next thirty days,
> >> you expect to make supplies of more than £56,000, you have
> >> to register immediately.
> >>
> >> There are no pro-rating clauses. It's all or nothing. You
> >> could start a business today, turnover £2,000 per week for
> >> 26 weeks, and then have next to nothing for the rest of the
> >> twelve months, so need to register. Alternatively, if you
> >> turned over £4,000 per week, you'd have to register after 9
> >> weeks trading.
> >
> >E&OE, eh?
> >
> <chuckle>
> --
> Keith


Please can someone let me in on the joke? What does E & OE mean?

Peter Saxton <> wrote in message
news:...
> On Fri, 11 Jul 2003 23:35:45 +0100, "Stephen"
> <> wrote:
>
> >
> >Robert Killington <> wrote in message
> >news: pulink.co.uk...
> >> In article <bemc0r$gq0$>,
> >> (Stephen) wrote:
> >>
> >> > Regarding reaching the VAT threshold of turnover per
> >> > annum..
> >> >
> >> > What exactly does the law say regarding "having" to
> >> > register for VAT. I do not want to register....so does the
> >> > law say you have to register if your.... TOTAL ACCRUED
> >> > turnover then reachest the threshold UNDER the year.....
> >> >
> >> > Or is it just enough that the RATE OF TURNOVER is above
> >> > the threshold......
> >> >
> >> > Eg. if the threshold is 52K per year..and your turning
> >> > over £1,500 per week, would they force you to register>
> >> .........
> >> >
> >> > Or could you turn over £1,500 per week and not register
> >> > UNTIL or UNLESS you reached the maximum.
> >>
> >> The law says that if the value of your taxable supplies in
> >> the last 12 months has exceed £56,000, you have to register
> >> for VAT. It also says, that if, in the next thirty days,
> >> you expect to make supplies of more than £56,000, you have
> >> to register immediately.
> >>
> >> There are no pro-rating clauses. It's all or nothing.
> >
> >Thankyou very much for clarifying that. This might sound strange,
however, I
> >have found that question, difficult to get answered....I have been told
> >before that if your "rate of turnover" is above the weekly threshold rate
> >(that would keep you just under the yearly limit) you would have to
> >register.
> >
> >
> >
> >
> > You
> >> could start a business today, turnover £2,000 per week for
> >> 26 weeks, and then have next to nothing for the rest of the
> >> twelve months, so need to register.
> >
> >
> >Thats brilliant, you've answered the question superbly, thats exactly the
> >straight and clear kind of answer...that is really appreciated...
> >
> >
> > Alternatively, if you turned over £4,000 per week, you'd have to
register
> >after 9
> >> weeks trading.
> >
> >I understand your point clearly....
> >
> Can you explain it to me then?
>
>
> Peter Saxton from London
>


I don't understand the last sentence......if you turned over 9 weeks of
trading of exactly 4k per week then that would be 36K, which you would not
need to register for...according to the gentlemen.

Therefore I conclude that last sentence was a small mistake...it was the
point that was important......

Is this not correct?

Peter Saxton <> wrote in message
news:...
> On Fri, 11 Jul 2003 18:50 +0100 (BST),
> (Robert Killington) wrote:
>
>
> >The law says that if the value of your taxable supplies in
> >the last 12 months has exceed £56,000, you have to register
> >for VAT. It also says, that if, in the next thirty days,
> >you expect to make supplies of more than £56,000, you have
> >to register immediately.
> >
> >There are no pro-rating clauses. It's all or nothing. You
> >could start a business today, turnover £2,000 per week for
> >26 weeks, and then have next to nothing for the rest of the
> >twelve months, so need to register. Alternatively, if you
> >turned over £4,000 per week, you'd have to register after 9
> >weeks trading.
> >
> I dont see why you would have to register after 9 weeks trading.
>
>
> Peter Saxton from London
>

After you brought up that point peter, I also saw that, and so I feel pretty
sure it was just a mistake, the point was written clearly though.

Ronald Raygun <> wrote in message
news:E_UPa.9543$...
> Stephen GoldenGun wrote:
>
> > Keith <> wrote in message
> > news:f6yg1pBem5D$...
> >> Ronald Raygun <> writes
> >> >E&OE, eh?
> >>
> >> <chuckle>
> >
> > Please can someone let me in on the joke? What does E & OE mean?
>
> It exposes you as the fraud you are. Any decent marketing man
> would be familiar with it because it's an easy way to excuse lies.

Yah well I don't know what it means. And I have no problem with admitting
that fact.

I never ever have put such terms on any of the products I have sold, the
vast majority of products are my own, products, I allways had my legal terms
and conditions written by a professional lawyer.

So if your so correct then why did a top quality lawyer who did my work for
it not include these on every single item I sold where the client signed the
sales agreement....

Eg. in the terms and conditions of sale, which incidentally, whatever you
write on your terms and conditions of sale does'nt change the rights your
customer has in the courts..
>
> It's a general disclaimer put into all kinds of document to the
> effect that all promises contained therein aren't worth the paper
> they're printed on. It means "errors and omissions excepted",
> i.e. "we mean everything it says here, unless it's a mistake".
> So they can always argue anything in the agreement was just
> a misprint. "We guarantee that this plan will pay off your
> mortgage" might be what it says, but oops, sorry, no they didn't
> actually mean that, because a word was accidentally left out and
> not picked up in the proofreading. It should have said "We
> cannot guarantee ..."
>


---
Outgoing mail is certified Virus Free.
Checked by AVG anti-virus system (http://www.grisoft.com).
Version: 6.0.500 / Virus Database: 298 - Release Date: 10/07/03