VAT Registration & Deregistration Thresholds:

Cash Accounting Scheme Limit

For joining: £1,350,000 (£660,000 prior to 1/4/07). Once on the scheme, you must leave the scheme if your turnover exceeds £1,600,000 (£825,000 prior to 1/4/07).

Annual Accounting Scheme

For joining: £1,350,000 (£660,000 between 1/4/04 and 31/3/06). Once on the scheme, you must leave the scheme if your turnover exceeds £1,600,000 (£825,000between 1/4/04 and 31/3/06).

Flat Rate Scheme for Small Businesses

For joining: Taxable (Standard, Reduced and Zero Rate) supplies of up to £150,000 and total UK income (including VAT Exempt and non-business income) of up to £187,500.

Remember, you cannot join the FRS if you are "associated" with another business.

You must leave the FRS if your total income on the anniversary of joining exceeds £225,000 or you breach one of the other conditions (such as you become "associated" with another business.