How to set up UK accounts - not VAT registered, but expect will be one day?

Dr. David Kirkby (Kirkby Microwave Ltd) drkirkby at kirkbymicrowave.co.uk
Sat Dec 3 03:49:58 EST 2016


I run a company in the UK, but are not VAT registered. But I think
that will change at some point, and the company will need to be VAT
registered.

Is it more sensible to set up the GnuCash account as "Business" or "UK
VAT Accounts"?  There seems to be two possible issues

1) If I set it up without VAT, it may become more tricky to manage if
the company becomes VAT registered.

2) If I set up with VAT, it will cause more of a headache now, when
the company is not VAT registered. (I did wonder if setting it up with
VAT, and setting the VAT rate to be 0% might be a sensible solution.)

Any thoughts?

Dr. David Kirkby Ph.D CEng MIET
Kirkby Microwave Ltd
Registered office: Stokes Hall Lodge, Burnham Rd, Althorne, Essex, CM3 6DT, UK.
Registered in England and Wales, company number 08914892.
http://www.kirkbymicrowave.co.uk/
Tel: 07910 441670 / +44 7910 441670 (0900 to 2100 GMT only please)


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