VAT

UK VAT Threshold Checker — Am I Close to £90,000?

Use this UK VAT Threshold Checker to see whether your business is close to the £90,000 registration threshold for 2026/27, model the cash-flow impact of registering, and understand whether voluntary registration makes sense.

£0

First consult

20+

Years combined

ACCA

Regulated

Registration threshold

£90,000

£15,000 headroom

VAT rate

20%

Annual turnover: £75,000
Headroom: £15,000
Months at current run-rate: 2.4

If you register for VAT

Output VAT on sales£15,000.00
Input VAT reclaimed−£0.00
Net VAT to HMRC£15,000.00
Effective cost if prices unchanged£15,000.00

If your customers are VAT-registered businesses, you can charge VAT without impacting their cost. If they are end consumers, you must absorb the cost or raise prices.

Source: gov.uk VAT registration thresholds. Rates for the 2026/27 tax year.

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The UK VAT registration threshold is £90,000 of taxable turnover in any rolling 12-month period. Mandatory registration is required within 30 days of exceeding it.

Yes. Voluntary registration lets you reclaim input VAT on purchases, which can benefit businesses with significant VATable costs, but it also means filing quarterly VAT returns.

HMRC can assess VAT as if you had been registered from the correct date, plus late-registration penalties and interest.

Usually yes if your customers are VAT-registered and can reclaim the VAT you charge, or if you have high VATable input costs. Countify can model the cash-flow impact for your specific situation.

Making Tax Digital for VAT requires digital record-keeping and filing through MTD-compatible software. It has been mandatory for all VAT-registered businesses since April 2022.

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