Hello everyone this is my first post so I would be very grateful if someone could help me out.
Our buisness has currently turned over £65,00 in 7 months, so I'm conscious of the fact that VAT registration is looming. We are currently writing a quotation for approximately £30,000. My question is this:
Clearly, if this is the next invoice, the £30,000 will take us over the £70K threshold. Is it at this point that I need to register for VAT? To clarify, am I right in saying that VAT is not payable on the £30,00 as it is this job that has taken us over the threshold? VAT is therefore only payable on future invoices?
We don't want to give the customer a definitive price, to find out later that we should have charged VAT.
