VAT registration

[XLMonkey]

Wrong way round

Also the 11% (or whatever) is applied to Sales + VAT i.e. £1175 * 11%

FRS gain (loss) = vx - vy - fx - fvx

where
x = VATable sales (remember to exclude bank interest)
y = VATable expenses (remember to exclude all payroll costs, and take the VAT off the expenses off before doing the calculation)
v = VAT rate (17.5%)
f = FRS VAT rate (usually 12 in the first year, and then 13% afterwards)

For most people (on the 13% flat rate) you are better off if your average VATable expenses are less than 12.7% of your pre-VAT gross sales.

I am an IT Monkey