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Value added tax

  From 1 April 2012 From 1 April 2011
Standard rate 20%  20%
Standard rate VAT fraction 1/6  1/6
Reduced rate 5%  5%
Reduced rate VAT fraction 1/21 1/21
Taxable turnover limits
Registration - last 12 months or next 30 days over £77,000  £73,000
Deregistration - next 12 months under £75,000 £71,000
Cash accounting scheme - up to £1,350,000  £1,350,000
Optional flat rate scheme    
 - joining up to £150,000 £150,000
- exiting over £230,000  £230,000
Annual accounting scheme - up to £1,350,000 £1,350,000

It is expected that the standard rate of VAT will remain at 20% until 2014.

Cars and your VAT return

VAT scale figures for private use are based on carbon emissions. Please refer here for the scale figures for VAT returns.