To determine if Peter is obliged to register the company for VAT, we need to calculate the total turnover of all three enterprises over the past 12 months.
Total turnover = 560,000 + 220,000 + 340,000 = 1,120,000
If the total turnover of all three enterprises exceeds the VAT registration threshold set by the tax authority in his jurisdiction, then Peter would be obliged to register the company for VAT.
For example, if the VAT registration threshold is $1,000,000, then Peter would be required to register for VAT as the total turnover of all three enterprises is $1,120,000.
It is important to check the applicable VAT registration threshold in his jurisdiction to determine if he needs to register for VAT.
. Peter owns three enterprises:
Enterprise 1 Turnover 560 000 for 12 months
Enterprise 2 Turnover 220 000 for 12 months
Enterprise 3 Turnover 340 000 for 12 months
Determine whether Peter is obliged to register the company for VAT
1 answer
1 answer