What do you have?

20% standard, 5% reduced, 0% zero-rated.

Flat rate scheme check

Registration is compulsory above £90,000.

14.5% for IT consultancy; 16.5% if you are a limited cost trader.

Gross, including VAT£1,200.00
At 20%
Net£1,000.00
VAT£200.00
Gross£1,200.00
Flat rate scheme on £110,000 a year
You invoice, with 20% VAT£132,000.00
Standard scheme pays HMRC (no input VAT)£22,000.00
Flat rate scheme pays HMRC at 14.5% of gross£19,140.00
Flat rate keeps£2,860.00

The flat rate surplus is taxable company income. If you reclaim much input VAT, the standard scheme usually wins.

Free vat calculator by ContractorSums, 2026/27 rates.