VAT

Value Added Tax (VAT) is a type of tax which is added onto the sale of your food and drinks.

If you are a business with sales of more than £85,000 in a 12 month period then you are required to be VAT registered. You can either increase your prices by 20% or reduce the profit you make on your sales by 20%.

The 20% you collect from customers is then paid over to HMRC monthly or quarterly.

For many of you restaurateurs, VAT can be a challenge. We have worked with many businesses to fins solutions including; 

1. Claim VAT back from your suppliers

2. Alternative VAT schemes

3. Price the menu accurately to include VAT

Tip: You may not be required to increase all prices by 20%. This is a complex area in which we can help you get right so you don't overpay HMRC.