Work & Business guide

Decide when to register your business for VAT

Track your taxable turnover against the VAT threshold, understand when registration becomes compulsory and weigh up whether voluntary registration suits you.

Estimated time: 45–90 minutesUpdated: 28 September 2026

Use this guide if you are self-employed or run a small business and your sales are growing, or if customers keep asking whether you are VAT registered. Have your sales records for the last 12 months and your pricing for the coming months.

Step by step

  1. Check the current threshold

    Look up the current VAT registration threshold on GOV.UK, as it can change. Registration is based on your VAT taxable turnover, which is broadly the total of everything you sell that is not exempt from VAT. It is not the same as your profit.

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