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Official guidance
VAT Margin Schemes

VATMARG03000 · Global accounting

  • VATMARG03050 · What is global accounting?
  • VATMARG03100 · What goods can be sold under global accounting?
  • VATMARG03150 · Purchase and sales invoices for global accounting
  • VATMARG03200 · Bulk purchases
  • VATMARG03250 · Collections
  • VATMARG03300 · Treatment of scrap and items broken up for use as spares
  • VATMARG03350 · Global accounting records and accounts
  • VATMARG03400 · What if items are sold outside the scheme?
  • VATMARG03450 · Opening stock and global accounting
  • VATMARG03500 · Can global accounting be used retrospectively?
  • VATMARG03550 · Negative margins
  • VATMARG03600 · Use of global accounting by pawnbrokers
  • VATMARG03650 · Leaving the global accounting scheme
  1. Global accounting: contents
  2. Global accounting: Negative margins

VATMARG03550 | Global accounting: Negative margins

From HM Revenue & Customs · VAT Margin Schemes

Negative margins may be produced especially when a trader begins to use global accounting. The business can carry a negative margin over to the next period, but you should expect to see a positive margin eventually if the business is viable.

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