Consultation outcome

VAT registration threshold: call for evidence

This consultation has concluded

Download the full outcome

Detail of outcome

In March 2018 the government launched a call for evidence into the current design of the VAT registration threshold, following the recommendations of the Office for Tax Simplification (OTS) report ‘Routes to Simplification for VAT’. The call for evidence sought to explore whether the design of the VAT threshold could better incentivise growth and considered policy options for reform.

Responses were received from a range of stakeholders. This document provides a summary of these and outlines the government’s response.

Original consultation


A call for evidence to explore whether the design of the VAT threshold could better incentivise growth.

This consultation ran from

Consultation description

The current design of the VAT registration threshold may be dis-incentivising small businesses from growing their business and improving their productivity. This was noted by the Office of Tax Simplification in their review of VAT published last year, which recommended that the government examine the current approach to the VAT threshold.

This call for evidence will explore the effect of the current threshold on small businesses, and will then go on to consider different policy options, and ask questions on whether those options could better incentivise growth.

For small businesses who would prefer a quicker way to engage with this call for evidence, please complete this SurveyMonkey online questionnaire. We estimate that it will take 7 minutes to complete.


Published 13 March 2018
Last updated 29 October 2018 + show all updates
  1. Updated with summary of consultation responses.

  2. First published.