Research and analysis

Behaviours and experiences in relation to VAT registration

Combined quantitative and qualitative study examining why small businesses register for VAT and their perceptions and experiences of doing so.


Behaviours and experiences in relation to VAT registration

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This research was conducted with businesses that registered for VAT in the last 2 financial years and those that had a turnover below, but close to, the threshold in the last 2 financial years.

Research consisted of two stages, 2,013 quantitative telephone interviews and 40 follow-up qualitative in-depth interviews.

The key research objectives were to explore the:

  • main factors that affect a business’ decision to voluntarily register for VAT when their turnover is below the VAT threshold
  • main issues faced by newly VAT-registered businesses, whether the current VAT simplification schemes address these issues and how they could be improved
  • types of businesses that restrict business activities to remain below the VAT threshold, their main reasons for doing so and how they ensure they remain below the threshold
Published 16 November 2017