11. Taxation and Regulation

Vat Principles — Quiz

Test your understanding of vat principles with 5 practice questions.

Practice Questions

Question 1

What is the deadline for applying to register for VAT if a business’s taxable turnover exceeds the £85,000 threshold on 20 November?

Question 2

When an office sofa is purchased for £1,000 plus VAT at 20% and used 80% for business, what amount of input VAT can be reclaimed?

Question 3

Which detail may be omitted from a simplified VAT invoice under UK legislation?

Question 4

A UK VAT-registered business receives marketing services from a US supplier. How should VAT on these services be accounted for?

Question 5

A business using the Flat Rate Scheme at 12% reports £30,000 of VAT-inclusive turnover in a VAT quarter. How much VAT is payable to HMRC?