Partially exempt traders calculate their input tax entitlement on each VAT return individually. Then, at the end of the year they undertake an ‘annual adjustment’ (Reg 107).

Thus, input tax is provisionally reclaimed/restricted on the ‘in-year’ returns pending a final determination when the adjustment calculation is performed.

Need help? Get subscribed!

To subscribe to this content, simply call 0800 231 5199

We can create a package that’s catered to your individual needs.

Or book a demo to see this product in action.