VAT Flat rate Scheme: Revised HMRC Guidance
An update to VAT Notice 733 – ‘Flat rate scheme for small businesses’ was issued on 4 May 2016. Three specific changes will be of interest to small businesses in determining which trade sector they choose and hence how much vat they pay. The previous note on Consultants has been removed. Management Consultants could find they are eligible to use a lower flat rate of 12% (business services not listed elsewhere) rather than 14% for management consultants.