Simple savers

THIS BRIEF ARTICLE is aimed at finding ways of making VAT simple and generating savings. It is a list of tips that aim to reduce the burden of VAT without being aggressive or actively avoiding VAT with artificial or contrived schemes. That said HMRC may look at any idea that reduces the tax burden and believe there to be avoidance. In addition even where the VAT accounting of the business merely reflects the activities of the business HMRC may regard it as avoidance and may wish to challenge the structure; this needs to be a consideration for any business and their advisers.

Avoidance

As avoidance has already been mentioned we may as well start there! VAT avoidance is the legal reduction of a tax burden either through reducing output tax due increasing input tax claimable accelerating the input tax claim or...