Registration and deregistration

The VAT registration threshold will increase from £85,000 to £90,000 from 1 April 2024. The deregistration threshold will go up from £83,000 to £88,000.

DIY Housebuilders Scheme

Following digitisation of the DIY Housebuilders Scheme, the government will introduce legislation to give HMRC additional powers to request further evidential documentation in relation to a DIY housebuilder’s claim. The power will come into force on the date of Royal Assent to the Finance Bill 2024 and will apply to claims made from that date.

Interest on late paid VAT

Technical amendments, backdated to 1 January 2023, will correct the unintentionally narrow scope of the common period rules, to ensure consistent application of HMRC’s power automatically to collect overpaid VAT repayment interest.

VAT treatment of private hire vehicles

The government will consult on the potential implications of the High Court’s ruling in Uber Britannia v Sefton MBC. This concerns whether a private hire operator is acting as principal or agent when entering into a contractual obligation with a customer, which affects the basis on which VAT is charged.