Im starting a business soon selling cosmetic items (self employed, not a limited company), I will be charged VAT by my suppliers. My turnover will be well under the registration threshold, but can i still register to reclaim the VAT charged from my suppliers??
No, unfortunately, you can't just register for VAT just to reclaim the VAT on purchases only.
If you register for VAT, then you'll have to also charge VAT on your sales (unless your goods are zero-rated) It's kind of an "all or nothing" thing ;)
Cosmetics are standard rated for VAT so by registering, although you can claim back the VAT on your supplies, you would need to charge it too. This is often not a problem provided you understand and account for the fact that the additional 20% on your sale is not your money and put it aside for HMRC.
VAT registration could be beneficial for your business but you would have to take the advice of your accountant.
