ATT: Hold back on fresh look at VAT threshold
Released 10 November 2017
The ATT says it cannot see that increasing the number of businesses that have to register for and charge VAT involves any simplification.
The Association of Taxation Technicians (ATT) has issued a press release warning that any significant reduction in the VAT registration threshold could increase costs and burdens for small businesses and impose digital record keeping requirements on them earlier than expected. Following the release of the Office of Tax Simplification (OTS) report Value added tax: routes to simplification which recommended the Government should examine the current approach to the level and design of the VAT registration threshold, the ATT is concerned that any significant reduction in the VAT threshold would result in unwelcome costs and burdens for small businesses – as well as increasing the tax burden on households in the form of additional VAT.
Yvette Nunn, Co-chair of ATT’s Technical Steering Group, said:
‘The ATT fully supports the commitment of the OTS to simplify the VAT system but we cannot see that increasing the number of businesses that have to register for and charge VAT involves any simplification.’
For more information, view the Press Release: Hold back on fresh look at VAT threshold.