VAT rates to change from 1st Jan 2010

A return to normality.

The standard rate of VAT will return to 17.5% from 1st Jan 2010, and the flat rate percentage for most IT contractors returns to 13%.

Additionally, from 1st April 2010, any companies turning over £100,000 or more will have to file their VAT returns, and payments, online. All new VAT registrants after this date will automatically have to use the online systems.