Value Added Tax Act (UK)

The UK Value Added Tax Act is legislation that governs how VAT is applied to goods and services. VAT is a consumption tax added at each stage of production and distribution, ultimately paid by the final consumer. Businesses registered for VAT must charge this tax on sales, record it, and remit it to HM Revenue & Customs. The Act sets out rules, rates, exemptions, and administrative procedures for ensuring VAT is collected fairly and efficiently, helping to fund public services while maintaining a consistent tax system across the economy.