Skip to Content
Skip to Main Menu
2018-05-23T00:00:00+01:00

Can I deregister for VAT if my turnover falls below the VAT threshold?

Can I deregister for VAT if my turnover falls below the VAT threshold?

Should your turnover fall below £83,000 in a 12 month period you may deregister your business for VAT. You are not obligated to do this, however, you can should you wish. Deregistering for VAT means you will no longer be able to claim back the VAT on the products and services purchased in the course of your business activities.

If you want to deregister you must contact HMRC directly and make them aware of your change in circumstances. Should HMRC have reason to believe your turnover will take you above the threshold, you will have to persuade them that your takings will reduce and will stay at this reduced level for a period of time.

There are certain instances where you must deregister for VAT. Should your business stop making taxable supplies, becomes part of a group, or if the business is sold the company must be VAT deregistered. Certain structural changes may also mean deregistration is mandatory. If you are in any doubt whether your business should be registered for VAT or not, consult the advice of an accountant for professional guidance.

David Tattersall
Speak to a Handpicked Expert today

Hi there - I'm David from Handpicked Accountants. If you need help finding the right accountant, simply give me a call. My expertise is in connecting business owners with the very best professional services and I'm on hand to assist you today.

Subscribe to the newsletter and receive news, advice and key insights in your inbox every month

By clicking submit you will receive the Handpicked Accountant newsletter. All emails include an unsubscribe link. You may opt-out at any time. See Privacy Policy.

Thanks for subscribing to the newsletter. ×