VAT (Value Added Tax) is a tax charged on most goods and services in the UK. If your business reaches a certain turnover, HMRC legally requires you to register for VAT and charge it to customers.
Many people search for how to get VAT registration number in UK when they start a business, cross the VAT threshold, or work with VAT-registered clients. Getting VAT registration right from the start helps you stay compliant, avoid penalties, and run your business smoothly.
What Is a VAT Registration Number?
A VAT registration number is a unique number issued by HMRC once your business is successfully registered for VAT.
It:
- Confirms your business is VAT registered
- Must appear on VAT invoices
- Is used when submitting VAT returns
- Allows you to charge and reclaim VAT legally
A UK VAT number usually starts with GB, followed by 9 digits (for example: GB123456789). You only receive a VAT registration number after completing the VAT registration UK process and being approved by HMRC.
Who Needs to Register for VAT in the UK?
VAT Threshold Explained
You must register for VAT if your taxable turnover exceeds £90,000 in any rolling 12-month period. This is not based on a tax year, it’s checked continuously.
Taxable turnover includes:
- Sales of goods and services
- Zero-rated items
- Online and cash sales
Businesses That Must Register
VAT registration applies to:
- Limited companies
- Sole traders
- Partnerships
- Online sellers and ecommerce businesses
Voluntary VAT Registration
You can also register voluntarily if your turnover is below the threshold. Voluntary VAT registration for startups can help reclaim VAT on expenses and improve business credibility, but it also comes with reporting responsibilities.
This is common for:
- Startup
- Growing businesses
- Companies working with VAT-registered clients
How to Get a VAT Registration Number in the UK With an Accountant (Step-by-Step)
Many businesses choose to register for VAT with the help of an accountant to avoid errors and delays. An accountant deals directly with HMRC and ensures the registration is completed correctly.
Step 1: Accountant Collects Your Business Information
Your accountant will collect and review your information to ensure it meets HMRC requirements and reduces the risk of rejection. They will request the required details, including:
- Business name and trading address
- Unique Taxpayer Reference (UTR)
- Company registration number (if a limited company)
- Business bank account details
- Estimated taxable turnover
- Clear description of business activities
Step 2: Accountant Submits the VAT Registration to HMRC
The accountant will:
- Set up or access your HMRC online account
- Complete the VAT registration UK application accurately
- Select the appropriate VAT scheme
- Submit the application on your behalf
For non-UK businesses, the accountant manages postal applications and additional compliance checks if required.
Step 3: Accountant Handles HMRC Communication
After submission:
- HMRC may ask questions or request documents
- Your accountant responds directly to HMRC
- Any issues are resolved promptly
Step 4: Receive Your VAT Registration Number
HMRC typically issues a VAT registration number within 2 to 4 weeks, provided no extra checks are needed.
Once issued, your accountant will:
- Confirm your VAT registration date
- Advise when to start charging VAT
- Set up VAT reporting and deadlines
You can then legally charge VAT and submit VAT returns with confidence.
VAT Registration for Startups in the UK
Startups often register for VAT earlier than required, especially when working with VAT-registered clients.
VAT registration for startups may be suitable if:
- You expect to exceed the VAT threshold soon
- You have high startup costs and want to reclaim VAT
- Your customers are mainly businesses
VAT Registration for Sole Traders
Sole traders register for VAT in their own name, not as a separate company. Many sole traders struggle with VAT calculations, which is why proper accounting for sole traders UK is essential to stay compliant and avoid HMRC penalties.
Non-UK businesses must register for VAT if they make taxable supplies in the UK, even if they do not have a physical presence here. VAT registration for non UK residents is common for overseas ecommerce sellers, service providers, and companies trading with UK customers.
- There is no VAT registration threshold for non-UK residents
- Registration is required from the first taxable sale
- A UK VAT agent is often needed to deal with HMRC
- Additional checks may apply before approval
How Long Does It Take to Get a VAT Registration Number?
The time to receive a VAT number depends on your business type and the information provided.
- 2 to 4 weeks for standard UK applications
- Longer if HMRC requests extra documents
- Non-UK applications may take additional time
Delays usually occur due to incorrect details, missing information, or unclear business activities. Therefore, it is always recommended to connect with professional accountants and avail their VAT services
Common VAT Registration Mistakes to Avoid
Many VAT problems start at the registration stage.
Common mistakes include:
- Registering late after crossing the VAT threshold
- Entering incorrect turnover figures
- Choosing the wrong VAT scheme
- Poor record-keeping from the start
Avoiding these errors helps reduce compliance issues and unexpected VAT bills later.
Do You Need an Accountant for VAT Registration?
You can register for VAT yourself using HMRC’s online system. Many small businesses do this successfully.
However, professional support is helpful if:
- Your business structure is complex
- You are registering as a non-UK resident
- You are unsure which VAT scheme to choose
- You want to avoid costly mistakes
A startup business accountant can ensure VAT registration is done correctly and that ongoing VAT obligations are managed properly. Many businesses also benefit from working with experienced professionals, such as the best accountants in Manchester, who understand HMRC requirements and local business needs.
What Happens After You Get a VAT Registration Number?
Once registered, you must:
- Charge VAT on applicable sales
- Issue VAT-compliant invoices
- Keep accurate VAT records
- Submit VAT returns to HMRC
- Pay any VAT due by the deadline
Most UK businesses must follow Making Tax Digital (MTD) rules, meaning VAT returns are submitted using approved accounting software.
Frequently Asked Questions
Can I trade while waiting for my VAT number?
Yes. You can trade, but you must not charge VAT until your VAT number is issued. Once received, you may backdate VAT on eligible sales.
Can I cancel VAT registration later?
Yes. You can deregister if your taxable turnover falls below the deregistration threshold or if you stop trading.
What happens if I register late?
HMRC may charge penalties and interest. You may also need to pay VAT on past sales.
Do sole traders submit VAT returns differently?
No. VAT returns are submitted in the same way for sole traders and limited companies.
Don’t risk penalties, learn why VAT registration matters for your UK business. Contact Mr. Anwar for expert VAT advice and hassle-free registration today!
