You may have seen recently that several EU countries have VAT Reduction rates. An attempt to help their economies. The idea is that if VAT is reduced, if prices should fall it will encourage people to spend more and help the economy.
Several experts have speculated that Rishi Sunak may announce similar plans for a reduction to VAT in the UK.
This is just speculation at the moment. If this does happen, any reduction will almost undoubtedly be for a limited period. The cost of this in terms of tax revenue would be considerable.
If you’re already using our preferred cloud accounting software XERO then any changes to VAT should be quite quick to implement. However, if you would like help planning for this eventuality, please get in touch.
Want to know more about tax in this pandemic? Then click here for a link to see how working from home can effect your tax.
Who is Millhouses Accountancy – Sheffield?
Millhouses are a specialist Xero training company based in Sheffield, Nottingham and London.
We offer Xero training courses, which are delivered by Xero certified trainers and advisors to help and support you with your business set up and bookkeeping on Xero. There are courses tailored specifically for your business needs, whether it be a full day training or just a drop-in session to troubleshoot any areas you need assistance with. For more information take a look at our range of Xero courses on offer.
Alongside Xero training we also offer other business and financial training courses. These include training courses for new start up businesses or for those with a business idea who would like to turn it into a start-up venture.