Which tax code should I use? - (UK only)
Summary
This guide explains what tax code to use for sales of services to the UK when you don't charge VAT.
Description
Based on the information you've given us, we recommend you use the following tax codes depending on the VAT rate you're applying.
Zero rate - 0%
| Which tax code to use | T0 |
|---|---|
| How this affects your VAT Return | Standard and VCA schemes: The net amount appears in box 6. Flat rate schemes: The flat rate percentage of the gross amount appears in box 1. |
VAT exempt - 0%
| Which tax code to use | T2 |
|---|---|
| How this affects your VAT Return | Standard and VCA schemes: The net amount appears in box 6. Flat rate schemes: The flat rate percentage of the gross amount appears in box 1. |
Non-vatable
| Which tax code to use | T9 |
|---|---|
| How this affects your VAT Return | This doesn't affect the VAT Return. |
TIP: Unsure which rate to apply? Read more >
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| This article offers general guidance only. While accurate at the time of publication, it may not suit your specific needs. We make no express or implied warranties. For tailored advice, consult a professional. For VAT, customs, or duties queries, contact HMRC on 0300 200 3700 or visit www.hmrc.gov.uk. We accept no liability for any loss from using this content. VAT or tax codes shown reflect default software settings and may differ in your setup. |
Solution Properties
- Solution ID
- 210730070533470
- Last Modified Date
- Fri Nov 05 21:00:55 UTC 2021
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