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Charging VAT when you’re not VAT registered (UK)

If you’re not VAT registered, you generally shouldn’t charge VAT or show VAT on your invoice. You can charge whatever total price you want — you just need to label it correctly. Use the checker below to avoid common mistakes and work out what to do next.

Quick checker

Practical guidance only (not tax/legal advice). If you’ve already shown VAT incorrectly on an invoice, it’s usually best to correct it quickly.

What happened?

Customer context

Turnover check (optional)

If you’re close to the VAT registration threshold, the right next step might be “check registration”, not “add VAT”.

Likely answer
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Next steps

    Invoice wording templates

    These reduce confusion and help avoid implying VAT when you’re not registered:

    • Good: “Total price: £1,000 (supplier not VAT registered).”
    • Good: “VAT: N/A (not VAT registered).”
    • Avoid: “£1,000 + VAT” (implies you will add VAT).
    • Avoid: “VAT included” (implies VAT was charged).
    • Avoid: showing VAT as a separate line unless you’re registered.

    General information only. Not tax/legal advice. If money has already been taken as “VAT”, consider contacting HMRC or an accountant.

    Guide

    • You can set any total price you want — but if you’re not VAT registered, it’s just “the price”, not VAT + price.
    • Businesses ask for VAT invoices because they might reclaim VAT — but they can only do that if you’re VAT registered and issue a proper VAT invoice.
    • “+ VAT” or “VAT included” wording can cause problems if you’re not registered, because it implies VAT was charged.

    FAQ

    These are the most common questions people ask when invoicing customers without VAT registration.

    Can I put VAT on an invoice if I’m not VAT registered?

    Usually, no. If you’re not VAT registered, you should not show VAT as a separate line or use wording like “+ VAT” or “VAT included”. Instead, charge a single total price and add “VAT: N/A (not VAT registered)” if helpful.

    Not VAT registered — how should I write my invoice?

    Keep it simple: show one total price. If customers might assume VAT, add a clear note such as “Not VAT registered” or “VAT: N/A”.

    Can I claim VAT back if I’m not VAT registered?

    Generally, no. In most cases only VAT-registered businesses can reclaim VAT on eligible purchases. If you’re not registered, VAT charged to you is usually just part of your cost.

    A customer asked for a “VAT invoice” — what do I do?

    Explain that you’re not VAT registered, so you can’t issue a VAT invoice and they can’t reclaim VAT from you. You can still supply a normal invoice/receipt showing the total price.

    I already wrote “+ VAT” or “VAT included” — how do I fix it?

    If you’re not VAT registered, it’s usually best to correct the paperwork: issue a corrected invoice (or a credit note + new invoice) removing VAT wording/lines. If you collected extra money described as VAT, consider refunding/adjusting it and get advice if needed.

    Should I register for VAT if I’m near the threshold?

    If you’re close to the VAT registration threshold, check your taxable turnover on a rolling 12-month basis and whether registration is required. If you’re unsure, an accountant can help confirm whether you need to register.

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