Freelance Consultant

[wilksj01]

Hi All,

I have been designing a website for a company and they have asked me to provide them with an invoice so that they can pay me. I am not vat registered and this is not my main job. Am I able to do this?

Thanks,

Wilksj01

[kalniel]

IMHO, yes, no problem. Just make sure you declare the income when it comes to end of year taxy things.

[fuddam]

yep, no need for vat registration until over....60,000?

some big figure anyway, and that's just your self employed / ltd company income.

[schmunk]

Yes, you don't need to register for VAT until you have earned £60,000 from taxable supplies in the last 12 months, at the end of each month; or if you think you will earn £60,000 in the next 30 days, at any time.

You can voluntarily register for VAT, which then allows you to 'look bigger and more established' and possibly claim back any VAT you have paid on your business costs, however, you will have to charge VAT on your invoices and pay this to HMRC. If all your customers are VAT reg'd then this isn't a problem, but if they are not (i.e. individuals, small businesses), then it just makes you 17.5% more expensive...

[wilksj01]

Cheers Guys, you've all help massivly

[JPreston]

As I'm a chartered accountant I would like to concur with the above (pointing out the threshold is £61k now), and then invoice you £200 (plus VAT) for the advice

Don't forget to contact HMRC telling them you need to file a tax return. Their prompt reply will be the single most efficient contact you will ever have with any organisation.

[schmunk]

As I'm a chartered accountant I would like to concur with the above (pointing out the threshold is £61k now), and then invoice you £200 (plus VAT) for the advice

Sorry, I'm working from memory from the 05/06 figures, as I'm currently studying my CTA...