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UK raises VAT registration threshold to £83,000

  • VAT
  • 16 March 2016 | Richard Asquith

UK raises VAT registration threshold to £83,000

The UK’s Chancellor, George Osborne, today announced that the UK VAT registration threshold would increase from £82,000 to £83,000 per annum from 1 April.

This will lift approximately 2,000 small businesses out of the VAT net.  The reregistration threshold will be set at £81,000 per annum.

The threshold applies to UK-resident businesses providing taxable supplies in the UK, although it can also include UK acquisitions (‘imports’ from other EU member states).  Businesses can elect to register voluntarily.

Non-resident businesses, either from EU or non-EU countries, there is no VAT registration threshold.  For EU sellers of B2C goods (e.g. via the internet), there is a distance selling VAT registration threshold into the UK of £70,000 per annum.


VP Global Indirect Tax
Richard Asquith
VP Global Indirect Tax Richard Asquith
Richard Asquith is VP Global Indirect Tax at Avalara, helping businesses understand their compliance obligations as they grow globally. He is part of the European leadership team which this year won International Tax Review's Tax Technology Firm of the Year. Richard qualified as an accountant with KPMG in the UK, and went on to work in Hungary, Russia and France with EY.