https://www.gov.uk/vat-record-keeping

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VAT record keeping

 

VAT-registered businesses must:

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• keep records of sales and purchases

• keep a separate summary of VAT called a VAT account

• issue correct VAT invoices

 

VAT registered businesses with a taxable turnover of more than £85,000 must follow the rules for ‘Making Tax Digital for VAT’.

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If you’ve signed up for Making Tax Digital for VAT, the records you need to keep are the same as any VAT-registered business but you’ll need to keep some of them digitally.

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How to keep VAT records

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You must keep VAT records for at least 6 years (or 10 years if you use the VAT MOSS service).

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You can keep VAT records on paper, electronically or as part of a software program (such as book-keeping software). Records must be accurate, complete and readable.

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If your taxable turnover is more than £85,000, you must keep a digital record of anything that’s needed for your VAT Return.

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If you’ve lost a VAT invoice or it is damaged and no longer readable, ask your supplier for a duplicate (marked ‘duplicate’).

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HMRC can visit your business to inspect your record keeping and charge you a penalty if your records are not in order.