Getting your VAT return right is absolutely paramount, if you want to remain compliant with HMRC. And avoid errors that might cost missed tax savings, not to mention fines.

Having a clear understanding of what each box on the return means can save you a lot of time, confusion, and potentially money.

The VAT return form is made up of nine boxes, each with a specific purpose. From declaring the VAT you’ve charged customers to reclaiming what you’ve paid on expenses, it’s essential to know exactly what goes where.

In this guide, we’ll break down each of the VAT return boxes in plain English, helping you fill out your return with confidence and accuracy.

A brief overview of VAT returns

If your business is VAT-registered, you’ll need to submit VAT returns to HMRC, usually every quarter. This return tells HMRC how much VAT you’ve charged on your sales, how much you’ve paid on purchases, and how much you owe (or are due back).

Since 2019, most businesses must submit their returns digitally using Making Tax Digital (MTD)-compatible software. That means you can no longer submit paper returns unless you’re exempt.

Each VAT return is made up of nine boxes, and every single one feeds into the final figure you pay or reclaim. Whether you manage your own bookkeeping or use an accountant, it’s worth knowing exactly what each of these VAT return boxes means and how to complete them correctly.

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VAT return boxes explained: What to enter in boxes 1–9

To make this as simple as possible, we've created this useful  table which explains exactly what you need to put in each box, and why.

Tips for completing your VAT return accurately

Filling in your VAT return boxes correctly helps you avoid penalties, and prevents you from overpaying or missing out on VAT you’re entitled to reclaim. Follow these tips to make sure your return is error free:

• Keep your records up to date – Regular bookkeeping makes VAT returns far less stressful. Don’t leave it until the last minute.

• Use MTD-compatible software – Most businesses must use digital software to submit returns, which also helps reduce manual errors.

• Double-check before submitting – Especially boxes 1, 4 and 5, where mistakes can directly affect how much you pay or reclaim.

• Be cautious with mixed-use expenses – If an item is used for both business and personal purposes, you may not be able to reclaim the full VAT amount.

• Get professional advice when needed – An accountant or VAT expert can help ensure compliance and even spot opportunities to improve your VAT position.

What happens if you make a mistake?

Mistakes on your VAT return can happen, especially if you’re juggling everything yourself.  In many cases, you can correct errors on your next return, as long as they’re under £10,000 (or up to £50,000 under certain conditions).

Here’s what to do:

• Small mistakes: Adjust the figures on your next VAT return and keep a record of the correction.

• Larger or deliberate errors: These must be reported to HMRC directly using form VAT652.

• Penalties: HMRC can issue fines for carelessness, especially if they think you’ve gained from the mistake. Being proactive helps show that any error was unintentional.

If you're not fully clear on how to complete your return, and want to be 100% certain it gets filed correctly, it’s always safer to get professional support .  Especially when corrections affect multiple returns.

Confidence in your VAT return boxes

Understanding what goes into each of the nine VAT return boxes can make a big difference .Not just in avoiding penalties, but in making sure you’re not paying more VAT than necessary.

With good record-keeping, the right software, and a bit of know-how, completing your VAT return becomes far easier.

And if you’re ever unsure, it’s worth reaching out for professional advice, especially when the cost of getting it wrong can be high.

Need help with your VAT returns? Whether you're filing your first return or want peace of mind that everything’s in order, working with a qualified accountant or using smart software can take the pressure off.

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