Does my business need to be VAT registered to sell on AppStore?

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Created Nov ’23

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I'm going to be setting up a ltd business with a business bank account, just not sure whether I need to be VAT registered?

Answered by endecotp in 772837022

What country are you in?

You don’t need to be VAT-registered if your turnover is below the registration threshold, but it can be beneficial to register voluntarily. Your receipts from Apple are an international business-to-business transaction, so are “reverse charged” i.e. in effect no VAT, but your expenses will likely be domestic (e.g. buying computers), so you reclaim VAT on them.

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Answer 1

endecotp OP

Nov ’23

Accepted Answer

What country are you in?

You don’t need to be VAT-registered if your turnover is below the registration threshold, but it can be beneficial to register voluntarily. Your receipts from Apple are an international business-to-business transaction, so are “reverse charged” i.e. in effect no VAT, but your expenses will likely be domestic (e.g. buying computers), so you reclaim VAT on them.

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Answer 2

lynjaninja OP

Nov ’23

UK here. Yes, will just be starting out and won't be hitting that turnover threshold.

I'd rather not have the hassle of being VAT registered, so won't do so (for the time being anyway). Thanks for your response.

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