Expected annual growth rate for projections
Reg. 07380272 · England & Wales · Est. 2010
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Your rolling 12-month turnover is at 93.3% of the threshold. Monitor closely and consider planning ahead.
Rolling 12-Month Total
£84,000.00
Threshold
£90,000.00
Headroom Remaining
£6,000.00
% of Threshold
93.3%
Everything you need to know about VAT registration in the UK
What is the VAT registration threshold?
The VAT registration threshold for 2025/26 is £90,000 in rolling 12-month turnover. If your total taxable turnover over any consecutive 12-month period exceeds this amount, you are legally required to register for VAT with HMRC. This applies to all businesses including sole traders, partnerships, and limited companies. The threshold is based on your VAT-taxable turnover, not your profit.
What is rolling 12-month turnover?
Rolling 12-month turnover is not based on the tax year (April to March). Instead, HMRC looks at any consecutive 12-month period. At the end of every month, you should check whether your total taxable turnover for the past 12 months has exceeded the threshold. This means you could breach the threshold at any point during the year, not just at year-end.
When must I register for VAT?
You must register for VAT within 30 days of the end of the month in which your rolling 12-month turnover exceeded the threshold. You must also register if you expect your turnover to exceed the threshold in the next 30 days alone. For example, if you sign a large contract that will push you over £90,000, you must register before you fulfil it.
Can I register voluntarily?
Yes, you can register for VAT voluntarily even if your turnover is below the threshold. This can be beneficial if you sell mostly to VAT-registered businesses (who can reclaim the VAT you charge), or if you have significant business expenses on which you pay VAT and want to reclaim it. However, voluntary registration means you must charge VAT on all your taxable supplies and submit regular VAT returns.
HMRC-Aligned: This calculator uses the official HMRC VAT registration threshold of £90,000 for the 2025/26 tax year. The threshold applies to taxable turnover only (not exempt supplies). For complex VAT situations including partial exemption or group registrations, consult a qualified accountant or VAT specialist.
This calculator uses official rates and thresholds from:
Last verified: February 2026 · Tax year 2025/26. Results are indicative — consult a qualified accountant for personalised advice.
Reviewed by M. Samiuddin Quadri, ACCA — Chartered Certified Accountant at Gladstone & Co. · Updated for the 2025/26 tax year.
Disclaimer: This calculator provides estimates based on current HMRC rates and thresholds for the 2025/26 tax year. It does not constitute professional tax, financial, or legal advice. Your actual liability may differ depending on your individual circumstances. Always consult a qualified accountant or tax adviser before making financial decisions. Read our terms