Glossary
VAT registration
Definition
VAT registration is the step that makes a company a VAT payer. From registration the company charges VAT on its sales, files a VAT return each period, and can reclaim input VAT. A company must register once its taxable turnover goes over the threshold, and it may register earlier.
Example. A company that passes the €40,000 threshold in a year registers, and from that date its invoices show VAT.
Why it matters for your company
Registration changes your invoices, your prices and your monthly routine. Knowing when you must register, before you pass the threshold, is part of planning.
Where you see it in Sapita
In the VAT section and in the watch items on the home screen, which warn you as turnover grows.