The trader whose taxable turnover does not exceed a specified
limit does not need to register as a taxable person but the trader
may do so if they wish.
However, if the trader wishes to register they must satisfy
HMRC that they make or intends to make taxable supplies in the
course or furtherance his business.
The specified limit is subject to alteration. It is
prescribed in paragraph 1, Schedule 1, Value Added Tax Act 1994 and
is amended by Statutory Instrument (VAT (Increase of Registration
Limits) Order), usually annually. For example, the limit below
which registration was not required was increased to £61,000
from 1 April 2006.
