Existing partnership transferring to ltd company

gobbyash

Hi

I currently have a partnership account and under advise from my accountant have been advised to set up a ltd company account.

This has been done and the new bank account is in the process of being set up (with the added benefit of a further 18 months free banking).

The final piece of the jigsaw is to ring the VAT man up and ask for a new VAT number as the existing partnership will cease trading at the end of this month and will be closed shortly after the final VAT bill and all outstanding monies have been received/paid out.

My question is: How soon can I ask for my new VAT number??

Do I have to wait for Companies House to update my Ltd company details on their register? Do I have to wait until the bank account is open? Will the VAT man want me to keep my existing VAT number?

gobby

martindow

I would imagine you can ask straight away and there is no reason there cannot be an overlapping period where both businesses are still active. I would phone the VAT people and ask their advice as I have found them to be very helpful.

richt71

As mentioned ring the vat people up and I'm sure they'll give you the number over the phone. I've actually found the vat people very good TBH (even for a government organisation!)

debt23

Hi,

Sorry, this is probably going to sound really dumb to you clued up VAT people, but.........

I thought it was the individual, and not the business, that was VAT reg?

So, in this case (just for an example) if you (gobbyash) was the partner that was VAT reg in the business you are closing, then wouldnt you just continue with your same VAT number etc in your new business?

And if it was your partner (or whomever) that was reg, then wouldnt you just start the new business under a new VAT reg - poss in your name etc.

Any of this make sense?

All the best

debt23

debt23

Hi, Me again !!!!!!

Sorry - ignore the above post - Ive done some more reading and I now know that VAT Reg is different for a Ltd company than a sole trader.

Really glad I found this out, as it's relevant to some ideas of my own.

All the best

debt23

toolpath

We had the same situation 3 years ago, had a partnership and changed over to a limited company. All we done was transfer the VAT number over to the limited company, there was a form to fill in but the process was easy.
Dont know if the VAT rules have changed in 3 years but it would be the easier option.
Hope this is of help

gobbyash

richt71 wrote:

As mentioned ring the vat people up and I'm sure they'll give you the number over the phone. I've actually found the vat people very good TBH (even for a government organisation!)

Gave them a call and are sending an application out in the post. Advised that turn round time was 6-8 weeks and that any invoices sent in the mean time would have to say 'Vat no. applied for'.

gobby

pootle666

You can take the VAT number with you - but then you take all the history of that number too - not that I imagine for a minute that you've done anything wrong, but sometimes it's good to leave it all behind & start afresh with a new number.

However when you deregister the partnership you will have to account for VAT on assets on hand at the time, so from a cashflow point of view sometimes it's better to take it with you.

gobbyash

Still waiting for application to turn up in post.