Guidance

Apply for an exception from registering for VAT

Apply for VAT registration exception from HMRC if you've temporarily gone over the VAT registration threshold.

• From: HM Revenue & Customs
• Published: 20 May 2025

When to apply

You바카라 사이트™ll normally need to register for VAT if you바카라 사이트™re a sole trader or a business, and your total taxable turnover for the last 12 months goes over the VAT registration threshold.

However, you may not have to register if, at the end of any month, both of the following apply: 

• your taxable supplies went over the registration threshold in the last 12 months 
• you can show that your taxable supplies will not go over the deregistration threshold in the next 12 months

This is called exception from registration. You바카라 사이트™ll need to apply to HMRC to make this exception official.

This is not the same thing as exemption from registration for VAT. Read section 3.11 of VAT notice 700/1 to find out when you might be exempt from registration.

How to apply

1. Contact HMRC by telephone to request form VAT1.

2. We바카라 사이트™ll ask you why you need the form. Tell us that you want to apply for exception from registering for VAT.

3. We바카라 사이트™ll send you form VAT1 and form VAT5EXC. You바카라 사이트™ll need to complete both these forms and return them to us to apply for exception.

After you바카라 사이트™ve applied

Once we get your application, we바카라 사이트™ll write to you within 40 working days. Our letter will tell you whether we바카라 사이트™ve approved your application or not.

If we approve your application for exception

We will not register you for VAT. This does not mean that you will never have to register.

You must keep checking the value of all your taxable supplies every month, to see whether you바카라 사이트™ve gone over the registration threshold. If you do, you must either:

• register for VAT
• apply for exception again

If we refuse your application for exception

If we refuse your application, our letter will explain why.

We바카라 사이트™ll use the information you provided on form VAT1 to register you for VAT. You바카라 사이트™ll need to account for VAT from the date you were liable.

Get more help

Check the current VAT thresholds.

Read 바카라 사이트˜When to register for VAT바카라 사이트™ to find out:

• when and how to register
• how to calculate your turnover

Read 바카라 사이트˜Register for VAT by post바카라 사이트™ for help filling in form VAT1.

Published 20 May 2025