The focus of the upcoming Budget in Autumn is expected to be on measures to grow the economy, with potential changes to the VAT threshold being a key area of interest. Currently, businesses must register for VAT when their taxable turnover exceeds £90,000 in any 12-month period, but there are suggestions to lower this threshold to bring more businesses into the VAT net. While this could level the playing field for businesses, it may also lead to increased administration and compliance costs, as well as additional pressure on HMRC.
Source RSM
