4 articles tagged with Limited Cost Trader.
If your business spends very little on goods, the VAT Flat Rate Scheme forces you onto a 16.5% rate regardless of your trade sector — often wiping out the scheme's benefit entirely. Here's the exact test.
How the VAT Flat Rate Scheme works in 2026/27, why the 16.5% limited cost trader rate catches many service businesses, and when the scheme still saves money.
How the VAT Flat Rate Scheme works in 2026/27, why the limited cost trader 16.5% rate wipes out the saving, and how to decide if it still pays.
Service businesses on the VAT Flat Rate Scheme may be 'limited cost traders' paying 16.5% -- leaving almost no benefit. Learn which businesses are affected and better alternatives.