Sole Trader to Ltd Co with same VAT number

Support
1

Hi everyone

I have requested to retain the same VAT number for my new Ltd Co as I have been using for 15 years as a sole trader.

This change happened on 1st January 2020.

My last VAT quarter on my sole trader account is 1st December to the end of February meaning that I have one months’ VAT to pay, December. I want to pay the balance of two months (January and February) from my Ltd Co account.

MY QUESTIONS: As I am using the same VAT number, do I need to register for Digital Tax again for the Ltd Co? And, will I retain the same VAT quarters?

Has anyone encountered the same issues?

Thank you in advance for any help. (I have called HMRC VAT division and asked these questions which they were unable to answer!!). I was on hold for almost 60 minutes!

Steve

2

I would imagine the answer is yes you will need to re register for mtd and in theory you should retain the same vat quarter’s.

The only thing that’s the same is the vat number, the change is to a new legal entity and so the processes all need to start again.

With regards to vat quarters it should in theory continue the same periods with a small starting period if needed to bring it inline, but this is down to hmrc and can’t really comment until you see what quarters get pulled through once the Ltd has set up mtd

1 Like
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Paul

Thank you for your advice.

It is a tough one, as I was unable to gain a definitive answer from HMRC.

I guess the main thing is to show that I am trying to pay the VAT rather than avoiding it and using this confusion as an excuse.

I will register again for MTD and will see what happens!

Steve

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