How to complete a VAT return, box by box

2 min read

9Boxes to complete

Box 5The amount payable

1 month + 7 daysFiling deadline

Amount (£)

VAT rate (%)

Adds VAT to a net figure and strips VAT out of a gross figure at any rate.

Step 1: Boxes 1 and 2 — VAT you owe

Box 1 is the output VAT you charged on sales in the period. Box 2 is VAT due on acquisitions from EU member states (relevant mainly to Northern Ireland now). Pull Box 1 straight from your sales records — do not estimate.

Step 2: Boxes 3 and 4 — totals and reclaims

Box 3 is Boxes 1 and 2 added together — the total VAT due. Box 4 is the input VAT you are reclaiming on purchases. Only reclaim VAT you have a valid VAT invoice for and that relates to business use.

Step 3: Box 5 — the payment

Box 5 is Box 3 minus Box 4 — the VAT you actually pay HMRC (or reclaim, if Box 4 is larger). This is the number that hits your bank account, so this is the one to forecast. Use the VAT calculator to sanity-check your output figure.

Step 4: Boxes 6 to 9 — the values

Boxes 6 and 7 are total sales and total purchases excluding VAT. Boxes 8 and 9 relate to goods dispatched to and acquired from the EU (again, largely Northern Ireland now). These are value totals, not VAT totals — a common source of errors that trigger HMRC queries.

Step 5: Check, then submit through MTD

Reconcile Box 5 to your bookkeeping before filing, and submit through Making Tax Digital-compatible software. If the bill is large, plan the payment — the deadline is usually one month and seven days after the period ends.

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Frequently asked questions

Which VAT return box is the amount I pay?

Box 5. It is Box 3 (total VAT due) minus Box 4 (VAT you reclaim). If Box 4 is larger, Box 5 is a repayment to you rather than a payment to HMRC.

When is my VAT return due?

For most businesses, one calendar month and seven days after the end of the VAT period. Both the return and the payment are due by that date, so allow time for the payment to clear.

What is the most common VAT return mistake?

Reclaiming input VAT without a valid VAT invoice, and confusing the value boxes (6–9) with the VAT boxes (1–5). Reconcile Box 5 to your records before you submit to catch errors early.