How to register my UK company on Malt? 🇬🇧

It is necessary to indicate a VAT number, even if your company is not required to have one. Malt SA is based in France, so due to French law it is mandatory to indicate a VAT number even if you do not have a turnover of more than £85,000 per year.

According to the information on the HMRC website: "Freelancers under £85k can register voluntarily for a VAT number by filling form VAT1 (it takes a week to obtain the number). We advise them to contact an accountant to see how getting the VAT will impact their business." 

More information here: https://www.gov.uk/vat-registration/how-to-register 

Invoices always display VAT, even if it is 0%. 

VAT is obligatory for business legal entities.

The standard VAT rate in the UK is 20%, for most goods and services (see https://www.gov.uk/vat-rates). 

Reduced rates might apply to certain goods and services: 0% or 5%.

The extensive list of goods and services exempt from VAT or subject to a reduced rate of 5% can be found here: https://www.gov.uk/guidance/rates-of-vat-on-different-goods-and-services.

Due to Brexit, no VAT is charged between UK and Europe (https://www.gov.uk/guidance/vat-exports-dispatches-and-supplying-goods-abroad).

So if you are a UK-based freelancer working with a European client, or vice versa, the VAT is typically accounted for through the reverse charge mechanism meaning that the customer (in this case, the client) is responsible for accounting for the VAT, rather than the supplier (the freelancer).

You can sign up on Malt and create your freelancer profile while registering as a Sole Trader, which is quick and easy!

Once you have a valid entity as a Sole Trader, you will be able to provide the following documents for validation:

• Your ID Proof:

The document can be either a valid national identity card from both sides or your passport.

The document uploaded needs to be a clear picture and not a scanned document in order for it to be validated.

• Your Registration Proof (please provide one of the following documents):

  • SA250 form received when you registered as a self-employed (An SA250 is a welcome letter issued by HMRC to taxpayers newly registered for self-assessment)

  • Previous self-assessment tax return

  • Statement of account (SA302 is a statement given by HMRC that provides evidence of your earnings). Only available once you send your self-assessment tax return.

• Certificate of Incorporation
  

Complete documents with all pages, dated, and signed.

• Confirmation Statement: 
  

Please submit the most recent document, no more than 3 months old.

• Shareholder Declaration:

You will find the required document format here, which will have to be completed, dated, and signed according to our legal and payment partner requirements. 

If you are in the process of registering your legal entity status, you can select the legal form of Registration Pending.

With this legal form, your account will be active and visible on the platform. However, you will only be able to receive payment once your account is in administrative conformity with your legal mentions and legal documents.

Upon receipt of your legal documents related to your new status, your project will be automatically updated. In the meantime, your funds will be kept without a time limit at our payment partner and will be available at any time on your Malt Digital Wallet.

As soon as you have sent your quote, select your original legal form again.

We have created this possibility to allow freelancers to start working as soon as they register and not miss a great opportunity.