While you can charge VAT on your sales (Output VAT), you can viably reclaim VAT on your purchases (Input VAT). If a business entity charges more VAT to consumers than it pays on its purchases, it must pay the difference to HMRC. On the contrary, if a business pays more VAT than it charges its customers, it can reclaim the difference from HMRC.
What is reclaiming VAT?
< 1 min read
Join 5,000+ businesses comparing today