VAT registration

HMRC has provided us with this article to explain the latest enhancement to its online VAT registration service for businesses and their agents.

The online tax registration service for Self Assessment (SA), Corporation Tax (CT) and PAYE for Employers has been available since 11 April 2012. On 31 October 2012 VAT was added to this service.

The service can be accessed direct from the HMRC website.

At the same time as VAT registration became part of the online tax registration service, HMRC introduced a new variations service. This means you can now do the following online:

• Register a client business for VAT
• Attach necessary documents, for example when applying for Group Registration (VAT Forms 50 and 51) or notifying of an Option To Tax (VAT 1614A)
• Carry out variations/make changes to some of the business VAT details (e.g. change the business name, but note that an agent cannot change the principal place of business or bank details on behalf of a client)
• Deregister online for VAT
• Apply for Annual Accounting or Flat Rate Scheme
• View and print the VAT certificate (if you have been authorised to act on behalf of your client for VAT using the Online Agent Authorisation service).
 

Note: If a client submits the VAT registration online itself, they will automatically be signed up to use the VAT Online service to file returns online. However, an agent completes the registration on behalf of a client, neither the business nor the agent is automatically enrolled for the online service and the agent or client will need to sign up as a separate process. This is to protect online security.

You can find out more about HMRC Online Services for Agents, including VAT Online,here.

You may be approached by a client to act as a ‘delegate’ and help them with their registration. If so, you will be able to review, add or amend the data prior to the client submitting the registration. Information does not have to be entered all at once as it can be saved and the application returned to for completion at a later date.

HMRC expect to process applications for registration four to six days faster than previously.

From April 2013, the HMRC systems and processes supporting VAT registration applications will be further enhanced. The time it then takes to issue a VAT Registration Number, for the majority of submissions received using the online service, will be reduced to three working days.

The online tax registration service does not replace the current agent authorisation process - the Online Agent Authorisation/64-8 process is unchanged.

To use the new variations service, access your client’s record as before and select the ‘Change registration details’ option. Note that you will need to activate the service before you can make changes on behalf of your client.

You can find more information about registering your client for business taxes, including VAT, using the link below.

How to register your client's business with HMRC

Just one final point of information. The maximum file size for any documents you wish to send in to HMRC, attached to an online application, is 5Mb. If you have something larger than this, then it will need to be posted and cross referred.