VAT can quickly become one of the more confusing parts of running a business.

Knowing when to register, what VAT can be reclaimed, how to keep the right records and what needs to be submitted to HMRC can feel complicated when you are already focused on running your business.

Draig Accountancy provides practical VAT support for sole traders, limited companies and growing businesses across Ammanford, Carmarthenshire and the wider UK.

Based in Penygroes, near Ammanford and Cross Hands, I work with businesses locally throughout Carmarthenshire and remotely across Wales and the UK.

Whether you are approaching the VAT threshold, considering voluntary registration or already VAT registered and looking for reliable ongoing support, I can help make VAT simpler to manage.

Do I need to register for VAT?

You must normally register for VAT if your taxable turnover for the previous 12 months goes over £90,000.

You must also register if you expect your taxable turnover to exceed £90,000 within the next 30 days.

The key point is that the threshold is based on a rolling 12-month period, not simply your accounting year or the tax year.

That means VAT registration can become relevant at any point as your business grows.

Before registering, it is worth considering:

• whether registration is compulsory
• when your registration date should take effect
• whether voluntary registration may be worthwhile
• how VAT may affect your prices
• whether your customers are VAT registered
• the impact on cash flow
• which records you will need to keep
• the ongoing administration involved

I can help you understand what applies to your business and what you need to do next.

VAT thresholds and rules can change, so advice should always be based on the current rules and your individual circumstances.

Voluntary VAT registration

You do not have to wait until your turnover reaches the compulsory registration threshold.

Some businesses choose to register voluntarily, particularly where they incur significant VAT on business costs or mainly sell to other VAT-registered businesses.

For other businesses, especially those selling mainly to consumers, charging VAT may have a greater impact on pricing and competitiveness.

There is no single answer that works for every business.

I can help you consider the likely effect on:

• pricing
• customers
• business costs
• cash flow
• record keeping
• administration

so you can make a more informed decision.

What happens once you are VAT registered?

VAT registration creates ongoing responsibilities.

Depending on your business, these may include:

• charging VAT correctly on taxable sales
• issuing appropriate VAT invoices
• recording VAT on sales and purchases
• keeping digital VAT records
• submitting VAT returns
• paying VAT due by the relevant deadlines
• keeping supporting records
• dealing with any VAT adjustments that arise

Accurate bookkeeping becomes particularly important once a business is VAT registered.

I can help make sure the system is set up properly from the outset so VAT is dealt with as part of your normal bookkeeping rather than becoming a last-minute task every quarter.

How I can help

VAT registration

Support with registering your business for VAT and understanding your responsibilities from the date your registration takes effect.

VAT returns

Preparation and submission of VAT returns, together with a clear explanation of the figures and any amount payable or reclaimable.

VAT bookkeeping

Support with maintaining accurate records so VAT is recorded correctly throughout the year.

Making Tax Digital for VAT

VAT-registered businesses generally need to keep relevant VAT records digitally and submit VAT returns using compatible software.

I can help you set up a practical digital system and make sure your records are ready for submission.

Accounting software

Support with Xero, Sage, QuickBooks and other suitable systems, including helping you choose and configure software that works for your business.

VAT advice

Practical guidance on common VAT issues and the treatment of business transactions where appropriate.

HMRC support

With the appropriate authorisation in place, I can help with VAT-related HMRC correspondence and queries.

Making Tax Digital made manageable

Making Tax Digital for VAT does not have to mean making your accounting more complicated.

The aim is to have a system that keeps the required records digitally and makes the VAT return process more straightforward.

HMRC requires VAT records and returns to be handled using compatible software, although spreadsheets can still form part of a compliant system where they are appropriately digitally linked.

I can help you:

✓ understand what records need to be kept
✓ choose suitable accounting software
✓ set up VAT correctly within the system
✓ maintain organised digital records
✓ prepare and submit VAT returns
✓ move from spreadsheets where a cloud system would work better
✓ identify and correct bookkeeping issues before the return is due

The aim is to find a system that works for the business rather than making the business fit the software.

Common reasons businesses contact me

Clients often get in touch because:

• their turnover is approaching the VAT threshold
• they have already exceeded the threshold
• they are unsure whether voluntary registration is worthwhile
• they need help registering for VAT
• they are struggling with VAT bookkeeping
• they are unsure what VAT can be reclaimed
• they need help with Making Tax Digital
• they have received correspondence from HMRC
• they want someone else to prepare their VAT returns
• they are moving to new accounting software
• they are changing accountants

If any of these sound familiar, getting the VAT side of the business organised early can make things much easier.

More than simply filing a VAT return

Good VAT support is about more than completing a form every quarter.

It can also help you understand how VAT affects the wider business.

For example:

• whether prices need to change after registration
• how much VAT should be set aside
• whether cash flow may be affected
• whether bookkeeping processes need to change
• whether VAT on costs is being recorded correctly
• whether your accounting software is set up properly

My approach is to keep VAT practical, proportionate and integrated with the rest of your accounts.

Why work with Draig Accountancy?

When you work with Draig Accountancy:

✓ You’ll deal directly with me, Fay Hancock MAAT
✓ You’ll receive clear, jargon-free advice
✓ Your VAT support will be tailored to your business
✓ I can help with both bookkeeping and VAT compliance
✓ You’ll have support throughout the year
✓ I’ll help you understand the figures rather than simply submit them
✓ I can liaise with HMRC where appropriate
✓ You’ll have greater confidence that your VAT responsibilities are being managed properly

As a business owner myself, I understand that accounting systems need to be practical and easy to maintain in everyday use.

VAT Accountant in Ammanford & Carmarthenshire

Draig Accountancy is based in Penygroes, near Ammanford and Cross Hands, providing VAT and accountancy support to businesses throughout Carmarthenshire.

I work with businesses across Ammanford, Cross Hands, Llandybie, Llanelli, Carmarthen, Llandeilo, Swansea and surrounding areas.

I also support businesses remotely throughout Wales and across the UK using cloud accounting software, secure document sharing, telephone calls and online meetings.

So whether you are looking for a local VAT accountant in Carmarthenshire or prefer to manage everything remotely, you can access the same personal service.

Frequently Asked Questions

What is the current VAT registration threshold?

The VAT registration threshold is currently £90,000 of taxable turnover.

You generally need to register if your taxable turnover over the previous 12 months exceeds this amount, or if you expect it to exceed £90,000 within the next 30 days.

What counts towards the VAT threshold?

The calculation is based on taxable turnover. This generally includes standard-rated, reduced-rated and zero-rated supplies, while exempt supplies are treated differently.

If your activities are mixed or unusual, it is worth checking the position rather than relying on turnover alone.

Can I register for VAT voluntarily?

Yes. A business can choose to register while below the compulsory threshold. Whether that is beneficial depends on the type of business, customers, costs and pricing.

Can I reclaim VAT on business expenses?

VAT may be recoverable on eligible business purchases, subject to the relevant rules and evidence being available.

What is Making Tax Digital for VAT?

VAT-registered businesses are required to keep relevant records digitally and submit VAT returns using compatible software, unless an exemption applies.

Can you submit VAT returns on my behalf?

Yes. I can prepare and submit VAT returns and provide ongoing support with bookkeeping, digital records and deadlines.

Which accounting software do you support?

I work with Xero, Sage, QuickBooks and other suitable systems and can help you choose a solution that fits your business.

Can you help if my VAT records are behind?

Yes. If your bookkeeping or VAT records need bringing up to date, I can help organise the information and establish what needs to be done next.

Can you help me move from spreadsheets?

Yes. If your business would benefit from cloud accounting software, I can help you move your records to a more suitable system.

Can you support my business if I am outside Carmarthenshire?

Yes. I work remotely with businesses throughout Wales and across the UK.

Need help with VAT?

Whether you are approaching the VAT threshold, considering voluntary registration, registering for the first time or looking for someone to manage your VAT returns, I’d be happy to talk.

I offer a free initial consultation with no obligation.

📍 Based near Ammanford, Carmarthenshire
🌍 Supporting clients throughout Wales and across the UK
📧 fay@draigaccountancy.com
📱 07914 848874