We've just done ours and it's reminded me how easy it is now compared with many years ago when we did it manually via spreadsheets! (plug for moving to an online accounting service ASAP - for only £15 or so per month it's definitely worth every penny in the amount of time it saves!)
If you're on the standard quarterly VAT scheme it's worth taking a look to see if there's another scheme more suited to your business.
- The Cash Accounting Scheme allows you to account for VAT only on the invoices you've received payment for, but you can only claim VAT on your purchases if you've paid for those purchases.
- Annual Accounting Scheme The Annual VAT Accounting Scheme allows you to make a yearly VAT return rather than a quarterly one, and to make interim payments before paying the balance (or claiming a refund) when your annual return has been submitted.
- Flat Rate Scheme The Flat Rate VAT Scheme allows you to calculate your VAT payment as a fixed percentage of your total turnover. The percentage you use depends on your type of business.
- Retail Accounting Scheme If you sell high quantities of relatively inexpensive items to the general public, you may be able to use a Retail VAT Scheme. If you're using the Retail VAT scheme you don't need to record VAT separately in your accounts for each sale so it can save you a lot of time with your record keeping.
- VAT Margin scheme If you sell second hand goods, art, antiques etc the VAT Margin Scheme allows you to account for VAT only on the difference between the price you paid for an item and the price at which you sell it - your margin.
