How Long Does It Take to Register for VAT?
Generally, it takes 30 working days to receive your VAT registration certificate. It can take longer, but this is a common average amount of days for your certificate to arrive.
In this article, we will detail what is required to register for VAT, covering timelines and details of what you need to do.
When to register for VAT
There are set thresholds that determine whether you need to register for VAT. You can register voluntarily if you wish, however, the formal thresholds are as follows:
- Your taxable income is expected to be more than £85,000 over the next 30 days.
- Your business had a taxable income exceeding £85,000 during the last 12-month period.
- You are taking over a business that is a VAT registered business.
Registration may also be required of you depending on where you sell your goods and the type of goods/services you sell.
How to register for VAT
Registering for VAT online is the quickest and easiest way for businesses to complete the application.
This option is available for most businesses, including a group of companies that meet certain criteria or partnerships that are registering using just one VAT number.
You’ll create a VAT online account at the same time as registering online for VAT. The online account is known as the Government Gateway Account. This account is required when sending your VAT returns to HM Revenue and Customs.
If you’re not comfortable using online systems, or you’re pushed for time, you can engage a VAT specialist to act as an agent and complete the application on your behalf.
Your chosen account/agent can also submit your VAT returns on your behalf.
Who cannot register for VAT online?
Most businesses can register for VAT online. However, there are some exceptions to this rule:
- You’re applying for an exception from VAT registration. This is where your taxable turnover crosses the threshold temporarily
- You’ll be joining the Agricultural Flat Rate Scheme
- You’ll be registering for separate VAT numbers for VAT registered businesses or different divisions of a body corporate
If you fall into one of the categories above, you will need to register by post. Registering by post isn’t as fast compared with online but you can still expect your VAT registration to take around 30 working days.
You may find delays occur if you fail to send all the information that is requested.
How to register for VAT by post
Registering for VAT by post requires a printer. You must print out a copy of the VAT1 form. Fill out the form and print any other additional forms if you require them. These too should be completed along with VAT1. The additional forms are needed for businesses that:
- Are joining the Agricultural Flat Rate Scheme
- Are registering a group of companies under individual VAT numbers
- You’re an EU business with customers in Northern Ireland
- Your business will be importing goods with a value of over £85,000 to Northern Ireland from a country in the EU
- You’ll be disposing of assets that you have claimed Directive funds on
You’ll learn whether you need to complete additional forms as you work through the VAT1 form. Post the forms to HMRC once they’re completed.
What you need to know when you register for VAT
The information you’ll be asked to provide when registering for VAT online or by post is:
- The turnover for your business
- Your business activity
- Your bank details
What happens when you register for VAT?
Now you know more about the timeframes involved, you might want to know what to expect once registration has been confirmed.
Your effective date of registration is the date you register for VAT. This is the date that the VAT you need to pay to HMRC begins.
After approximately 30 working days, you can expect to receive your VAT number. This is a 9-digit number sent from the HMRC.
If you register your VAT certificate, you’ll receive the VAT certificate through your online account. The VAT certificate is posted to your address if you registered by post.
Things to remember when you register for VAT
- You’ll receive your VAT certificate 30 working days after you register
- You may need to register by post in certain circumstances
- Registering online is available for most businesses
The VAT People can help
If you need help with registering for VAT or submitting returns, contact a member of The VAT People team on 0161 477 6600 or contact us via our online form and a member of our experienced team will be able to help you.