[charlieguy]

We have recently purchased a small holding and we are looking for advice as to whether it is worth registering for VAT to recover some of our running costs. We are not expecting to earn much from the small holding, it is more a lifestyle thing. We are growing beef cattle and will be taking on some sheep as well.

[Dan]

In most cases the answer's yes. You'll find a good recent discussion here:

http://www.accidentalsmallholder.net/forum/index.php?topic=56410

HTH.

[Womble]

Even if you don't register just now, keep EVERY receipt.  I didn't bother to file much the first couple of years we were here, and my laziness is costing me now!

[bazzais]

Its not going to be worth it for 'running costs' unless your thinking of doing a big refurb of all your barns and maybe buying in some kit to run the place.

Its possible to register for VAT in the startup year and claim 'refurb' (not rebuild) cost and the outlay for machiney etc etc and then deregister after.  But this will flag up the obligatory letter 'we think your doing this as a hobby' if you dont make any money in the next few years.

But dont worry - I have had my VAT inspection.  As long as your doing you VAT properly - the VAT scheme is open to all.

[bazzais]

The fact is that most farms and smallholdings lose money - and I told them, if I wanted a hobby - I wouldnt be farming.

[Me]

Talk to a CA, depending on what else you do, it may not be worth it