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Indirect Tax FA20:1

Total questions: 12

Worksheet time: 7mins

Name
Class
Date
1.

VAT stands for...

a)

Value Added Tax

b)

Value Added Taxes

c)

Value Additional Tax

d)

Indirect Tax

2.

VAT is a/an... (tick two)

a)

tax on consumer expenditure

b)

indirect tax

c)

direct tax

d)

income tax

3.

The VAT process starts with...

a)

Registration

b)

Collection

c)

Input VAT

d)

Output VAT

4.

VAT is charged by....

a)

the HMRC

b)

a taxable person

c)

business

d)

individuals

5.

Registration for VAT is compulsory if...

a)

taxable supplies exceeds £81,000 in the past 12 months

b)

taxable supplies exceeds £83,000 in the past 12 months

c)

taxable supplies exceeds £85,000 in the past 12 months

d)

taxable supplies exceeds £87,000 in the past 12 months

6.

The threshold for compulsory registration for VAT is ...

a)

£85,000

b)

£85,500

c)

£83,000

d)

£83,500

7.

Registration for VAT is compulsory if...

a)

taxable supplies exceeds £81,000 in the next 30 days

b)

taxable supplies exceeds £83,000 in the next 30 days

c)

taxable supplies exceeds £85,000 in the next 30 days

d)

taxable supplies exceeds £87,000 in the next 30 days

8.

Output tax is....

a)

VAT charge on taxable supplies

b)

VAT paid on taxable supplies

c)

VAT charge on taxable supplies

d)

VAT on purchases of goods and service

9.

Input VAT is...

a)

VAT on sale of goods and services

b)

VAT on purchases of goods and services

c)

VAT charge on sales income

d)

VAT exempt supplies

10.

There are two types of registrations. What are they?

a)

Voluntary

b)

Compulsory

c)

Ethical

d)

Future test

11.

There types of VAT rates are...

a)

20%, 5%, 0%

b)

20%, 25%, 10%

c)

10%, 5%, 0%

d)

20%, 3%, 0%

12.

Exempt supplies attract a VAT rate of 0%. True or False?

a)

True

b)

False