We have recently introduced a new Zero VAT category on our website. This newly added category displays all products that have a zero VAT rating.
Some of the products that we sell are exempt from VAT. However, most of the goods that we sell have a standard rate of VAT which is 20%.
You need to know the right VAT rate so you can charge it correctly and reclaim it on your purchases. You can only charge VAT if your business is registered for VAT. VAT will be charged when you sell goods that have a standard VAT rating. Therefore being able to see what products have a Zero VAT rating will be useful to you.
If you buy or sell an exempt item you should still record the transaction in your general business accounts.
If you have any questions or would like more information, please call 0121 313 6738.