Bepro News – 16th December 2009
|New VAT changes for 2010 and how they affect you|
|From 1 January 2010 there are three very important changes to VAT. You’ll need to be fully aware of the implications of these changes; what they mean for your business, what you need to do and when.|
|1. If you’re VAT registered|
|The standard rate of VAT was reduced from 17.5% to 15% last year and it due to return to its former level on 1 January 2010. If you are a VAT registered business you must apply the 17.5% rate to all supplies of standard-rated goods and services made on or after that date.|
|2. If your annual turnover is 100k or more|
|From 1 April 2010, all businesses with an annual (VAT exclusive) turnover of £100,000 or more must file their VAT Returns online. Any business registering for VAT on or after that date will also have to file online, whatever its turnover.|
|3. If you trade with overseas businesses|
|If you trade with overseas businesses, there are major changes to the Cross-border VAT rules applying to goods and services, These affect where, how and when VAT is accounted for; completion of EC Sales Lists for goods and services; and reclaiming VAT incurred in another EU country. These changes take effect from 1 January 2010.|
Category Archives: Business Trends
Found this great site while searching the internet:
Okay, so I know it’s a day late, but hopefully you haven’t seen it yet (or read about the outcry it’s caused) and you’ll learn something new from this post!
Chancellor Alistair Darling’s Pre-Budget Report is one of the most important Pre-Budget Reports in living memory. Unlike the rest of the G20, the UK is the only country still stuck in recession after its economy contracted for the sixth straight quarter in November. With the projected fiscal deficits for 2009/10 and 2010/11 being revised upwards from £175bn, businesses are facing more attempts by the government to claw back cash.
Here it is at a glance:
-50% levy on bank bonuses over £25K
-inheritance tax threshold frozen
-state pension up by 2.5% in april
-borrowing to hit £178BN this year
-vat will go back to 17.5% on January 1
-bingo duty to be cut from 22 to 20%
-return to growth in fourth quarter
-green payment to scrap old boilers
So, what does it mean for you or your business? Well, first of all, the VAT going up means your prices will go up and those of your suppliers! What else? A new green agenda, staffing issues, national insurance rises, corporation tax, VAT and stamp duty! Businesses need to react quickly or face being outdone by the competition.
What does the pre-budget report mean or your business?