New Default Tax Codes and How They Affect Your VAT Return

Posted on January 13, 2021January 13, 2021 by chris@wearehint.co.uk

T0 – Zero rated transactions

T1 – Standard rated transactions – Currently 20%

T2 – Exempt transactions

T4 – Sale of goods to VAT registered customers in EC

T5 – Lower Rate – Currently 5%

T7 – Zero rated purchases of goods from suppliers in EC

T8 – Standard rated purchases of goods from suppliers in EC

T9 – Transactions not including VAT

T10 – T14 No change

T15 – Purchase of services from ROW – Reverse charge

T16 – Purchase of services from ROW – No VAT

T17 – Import of goods – Under import reverse charge threshold

T18 – Import of goods – Postponed VAT

T19 – Import of goods – VAT not postponed

T20 – Domestic reverse charge

T21 – CIS reverse charge – Standard rate

T22 – Sales of services to VAT registered customers in EC

T23 – Zero rated or exempt purchases of services from suppliers in EC

T24 – Standard rated purchases of services from suppliers in EC.

T25 – UK Flat Rate scheme only – Purchase or sale of capital items, where the purchase amount is more than £2,000 inclusive of VAT.

T26 – CIS reverse charge – Reduced rate

Leave a Reply Cancel reply