Watch out for Vat pitfalls when carrying out farm business

A farmer who is normally regarded as not Vat registered becomes registered in respect of a second trade, which causes their farm business also to become registered for Vat if the combined income exceeds the limits

The vast majority of farmers are unregistered for Vat, and similarly, private consumers' only interaction with Vat is paying it as a cost as a final consumer.

Vat is one of those taxes that need special care and attention or the consequences of not applying the rules correctly can result in a major blowout. 

Unfortunately, Vat is also one of those taxes which does not come to mind readily, especially so if one is not used to applying Vat. The vast majority of farmers are unregistered for Vat, and similarly, private consumers' only interaction with Vat is paying it as a cost as a final consumer.