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Budget 2005
Value Added Tax
| Rates |
%
|
|
| Standard |
17.5
|
|
| Reduced |
5
|
|
| Zero |
0
|
|
| Special Schemes | Maximum annual taxable turnover | |
|
From 1 April 2004
|
||
| Cash accounting scheme |
£660,000
|
|
| Annual accounting scheme* |
£150,000/£660,000
|
|
| Flat rate schemes† |
£150,000
|
|
| Annual registration and de-registration thresholds | ||
|
From 1 April 2005
|
From 1 April 2004
|
|
| Registration |
£60,000
|
£58,000
|
| De-registration |
£58,000
|
£56,000
|
VAT element of fuel scale charges for cars - quarterly rates
|
Diesel
|
Petrol
|
|||
| 2005/2006‡ | 2004/2005‡ | 2005/2006‡ | 2004/2005‡ | |
|
£
|
£
|
£
|
£
|
|
| up to 1400cc |
35.15
|
32.17
|
36.64
|
34.55
|
| 1401-2000cc |
35.15
|
32.17
|
46.32
|
43.63
|
| over 2000cc |
44.68
|
40.65
|
68.06
|
64.34
|
Bad debts - output tax reclaimable, input tax repayable after 6 months
| Penalties |
% of the related tax
|
| Late registration § | |
| 9 months late or less |
5
|
| over 9 and up to 18 months late |
10
|
| over 18 months late |
15
|
| Late payments ¶ |
2-15
|
| Misdeclaration § |
15
|
| Repeated misdeclaration § |
15
|
| Civil fraud § |
100
|
| Failure to disclose avoidance schemes | |
| designated scheme |
15
|
| flat rate penalty |
£5,000
|
* Depending on time since registration
† Separate scheme available for farmers (no turnover limit)
‡ Effective 1 May
§ Mitigation available
¶ Reliefs available for small businesses with annual turnover up to £150,000
The figures shown here are subject to ammendment as the Finance Bill passes through Parliament.
This information has been prepared only as a topical guide to tax and personal financial matters. No responsibility can be accepted by us for loss occasioned to any person acting or refraining from acting as a result of any material contained in this publication.
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