VAT stands for Value Added Tax. This is a tax charged in the UK on business transations, goods and services.
You must register for VAT if your annual sales for the previous 12 months are £67,000 (correct as at 15th March 2009) or above. This is the VAT registration threshold. If you suspect your turnover may go over the threshold in the next 30 days you must register.
To register for VAT, visit the HMRC web site, fill in the necessary forms and submit them to HMRC for approval. You will then receive a VAT registration number and certificate.
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