Calculator

VAT Threshold Tracker

The <a href="https://www.gov.uk/vat-registration">UK VAT registration threshold</a> is £90,000 of taxable turnover in any rolling 12-month period. For marketplace sellers, taxable turnover is the gross selling price of each item before the platform deducts its fees. Sellers who track their bank deposits or net payouts instead of gross sales routinely breach the threshold without realising it, because the payout figure is always lower. Enter your gross sales to see your headroom and your projected breach month.

£

Use gross selling price before platform fees. The £90,000 threshold is on gross turnover, not the net amount you receive in your bank account.

Headroom to VAT threshold
£20,000
77.8% of the £90,000 threshold used
Gross sales (rolling 12 months)£70,000
VAT registration threshold£90,000
Headroom remaining£20,000
Threshold used77.8%

You are below the VAT registration threshold. Keep monitoring your rolling 12-month gross sales, not your net payout.

Frequently asked questions

Does the £90,000 threshold apply to my Amazon or eBay payout or my gross sales?

The threshold applies to your gross selling price, not the net payout after platform fees. If you sell an item for £100 and the platform pays you £82 after deducting referral and fulfilment fees, £100 counts toward the threshold, not £82.

What happens if I breach the VAT threshold?

You must notify HMRC within 30 days of the end of the month in which you exceeded the threshold. Registration is effective from the first day of the following month. HMRC can back-date registration and charge VAT and penalties for the period you traded above the threshold unregistered. If you have breached, see our HMRC letter and late-registration service.

Do I have a VAT threshold if I sell through a marketplace and I am not based in the UK?

No. If you are not UK-established and sell goods through an online marketplace, the marketplace is treated as the deemed supplier and accounts for UK VAT on your behalf. You have no £90,000 registration threshold. See deemed supplier and establishment for the full rules.

Do overseas platform fees count toward the £90,000 threshold?

Yes, if you are VAT-registered. Marketplace and advertising fees billed from outside the UK are reverse-charge services under HMRC Notice 741A. You self-account for the VAT on them, and that value is included in your taxable turnover for threshold purposes. See VAT on marketplace fees.