VAT Act 1994

The VAT Act 1994 is UK legislation that governs Value Added Tax (VAT), a tax added to most goods and services sold in the country. It outlines how VAT is charged, collected, and reported by businesses. Businesses must register for VAT if their taxable turnover exceeds a certain threshold and are responsible for submitting regular VAT returns to HM Revenue and Customs. The Act also specifies exemptions and reduced rates for certain goods and services, ensuring clarity on how VAT should be applied in various circumstances, ultimately helping fund public services.