VAT on Business Purchases: Which Records Should You Keep?
Reclaiming input VAT on your UK business purchases requires maintaining clear digital records and supporting evidence under Making Tax Digital (MTD) for VAT rules. Holding valid proof protects your business during an HM Revenue & Customs (HMRC) inspection and ensures you reclaim every penny of VAT you are legally owed. Working with qualified accountants in Ilford or your local tax specialist helps ensure your purchase ledger complies with HMRC standards, and your VAT returns are filed accurately. VAT on Business Purchases: Which Records Should You Keep? 1. Primary Proof: Valid VAT Invoices To reclaim input tax on any business purchase, you must hold a valid VAT invoice issued by a VAT-registered supplier. ┌───────────────────────────────────────┐ VALID VAT INVOICE CHECKLIST ...