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VAT alignment

  • Member PM.Dip
  • Practice Licence
  • 48 posts
  • # 97293

Hi All

I am taking over a client from another bookkeeper. The clients year end is March and his quarterly vat period end is Feb. Is it possible to align the vat period to end with the financial year ie March, June, Sept, Dec etc... ? Any advice much appreciated. Thanks.

  • Member
  • Practice Licence
  • 88 posts
  • # 97294

Bik said:

Hi All

I am taking over a client from another bookkeeper. The clients year end is March and his quarterly vat period end is Feb. Is it possible to align the vat period to end with the financial year ie March, June, Sept, Dec etc... ? Any advice much appreciated. Thanks.


 Yes it is possible, personally speaking I would probably wait until after the year end to do it, but that is just me. You probably need to ask the question as to why the don't align as some people prefer not to have them running concurrently. It is pretty easy to do and depending on whether or not you log in as his agent or he submits his VAT himself, it can be done by a request on the HMRC site.

  • Member PM.Dip
  • Practice Licence
  • 48 posts
  • # 97295

Thanks for your reply Louise. The client doen't know, but I think it might be to do with spreading the workload.

  • 491 posts
  • # 97307

Hi Bik

When someone first registers for VAT and HMRC assigns a quarter to the business, many don't bother to sort this out, if it doesn't align to the year end. It makes life much easier for the accounting year end if it aligns with the year and it's very easy to change.

Log in to the online account, either with the clients login or your agent code. Go to Change Registration Details, then VAT Return Frequency. You will then see a list of the 3 other quarters that you can change to, select the one you want and submit.

The VAT office will then, over the next few days, change the account appropriately, providing they accept it. For example, if you were to do this for your client in the next week or two, the VAT office will probably inform you that you will need to submit a one month return in March, then begin 3 monthly from April onwards, which is what you want.

I would do this sooner rather than later.

Hope this helps

Carol

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