Last updated: 14 October 2026
Can you recover VAT on equipment bought before you registered for VAT?
Yes. Once you register, you can reclaim VAT on goods you bought up to 4 years before your effective date of registration, if you still have them or have used them to make goods you still have. You can reclaim VAT on services bought up to 6 months before registration. You claim it on your first VAT return.
The time limits
| Purchase | How far back | Condition |
| Goods, such as equipment, stock or vans | 4 years | You still have them at registration, and they are used for your VATable business |
| Services, such as accountancy, marketing or legal fees | 6 months | They relate to your VATable business |
What you can’t reclaim
- Goods sold, used up or thrown away before registration
- Services used to make goods you no longer hold
- Services from more than 6 months before registration
- Anything without a VAT invoice in the business’s name, or in your name as a sole trader
- Cars you can’t normally reclaim VAT on
How to claim
- List each item with the date, supplier, net cost and VAT
2. Keep the original VAT invoices
3. Include the VAT in box 4 of your first VAT return
4. Keep evidence that goods were still held at the registration date
Example
A sole trader registers for VAT on 1 August 2026. In the previous 2 years she bought a van (£18,000 + £3,600 VAT), a laptop (£1,200 + £240) and website design in May 2026 (£2,000 + £400). She can reclaim £3,600 + £240 + £400 = £4,240, if she still has the van and the laptop.
Companies: pre-incorporation costs
A new company can reclaim VAT on goods and services bought on its behalf before it was formed, for example by a director, within the same time limits. The invoice should be in the company’s name, or the director must recharge the cost to the company.
Partial business use
If an item is used partly for private purposes, you reclaim only the business share.
Voluntary registration to recover start-up VAT
Many new businesses register voluntarily so they can reclaim VAT on start-up costs, especially if their customers are VAT-registered. See how to register for VAT.
Records HMRC may ask for
HMRC often checks first VAT returns that include large pre-registration claims, because they are usually repayments. Keep a schedule of every item with its invoice, a note of where each asset is now, and evidence that services related to the business you now run. A short covering note on the return can speed up the check. If you are claiming for stock, keep your stock count at the registration date. Missing evidence is the most common reason HMRC reduces these claims.
Frequently asked questions
Can I reclaim VAT on stock bought before registration?
Yes, on stock still held at the date of registration.
Do I need to tell HMRC separately?
No. Include it in your first return and keep the evidence.
What if I forgot to claim on my first return?
You can usually correct it later within 4 years, but tell HMRC.
Does this apply to the flat rate scheme?
You can reclaim pre-registration VAT on capital goods over £2,000.
Related: VAT on capital assets.
Talk to Accotax
Want this handled for you? Our team at Accotax can help with VAT registration and pre-registration claims. See our VAT accountants service, or contact us for a free, no-obligation quote.
This page is general guidance based on HMRC rules for the 2026/27 tax year, checked against gov.uk on 14 October 2026. It is not personal advice, so speak to an accountant about your own situation.
