As of 13 August 2026, AI can check whether the UK VAT Flat Rate Scheme suits your business.

What to actually do

1. Hand it to a person

   The route this page recommends

   Someone with a licence or accountable authority has to sign this before it counts.

2. Use a tool built for this

   Second choice

3. Do it yourself

   The distant third

   A chat interface, chat-fluent skill, and roughly 30 minutes until you can act on the result.

   How to actually do it

   1. Open GOV.UK guidance on the VAT Flat Rate Scheme and save the current pages covering eligibility, the sector percentage, limited-cost businesses, joining and leaving the scheme.
   2. Gather your VAT registration details, business structure, exact activities, sales by VAT rate, expected VAT-inclusive turnover and expected VAT-inclusive expenses for the same period.
   3. Separate capital purchases, overseas transactions, exempt or zero-rated supplies, connected businesses and any other facts that could affect the calculation.
   4. Paste the supplied prompt into a chatbot and replace each bracketed slot with your figures and facts, leaving a slot marked as unknown rather than guessing.
   5. Compare the chatbot's cited eligibility rules and Flat Rate Scheme category with the GOV.UK pages you opened, and recalculate each displayed formula using your own figures.
   6. Send the comparison, source links, assumptions and unanswered questions to your accountant before joining the scheme or relying on the conclusion for a VAT return.

   Prompt

   Assess whether the UK VAT Flat Rate Scheme is likely to suit my business. This is not professional advice, so do not present the result as a final tax decision.
   
   Use only the facts and figures I provide and current information from GOV.UK or HMRC sources. If a rule, category, threshold, eligibility condition or calculation cannot be confirmed, say so and list the exact point to check. Do not invent figures, assumptions or VAT categories.
   
   My business details:
   - Business structure: [sole trader, partnership or limited company]
   - Main business activity and precise description of what I sell: [details]
   - VAT registration status and effective date: [details]
   - Expected VAT-inclusive turnover for the relevant period: [amount and period]
   - Expected VAT-exclusive turnover, if known: [amount and period]
   - VAT rate charged on each main type of sale: [details]
   - Expected VAT-inclusive purchases and expenses for the same period: [amounts and categories]
   - Capital purchases and their values: [details]
   - Any connected businesses or other VAT registrations: [details]
   - Whether I have used the Flat Rate Scheme before: [details]
   - Any unusual transactions, exempt supplies, zero-rated supplies or overseas activity: [details]
   
   Produce:
   1. A clear list of the facts that affect eligibility and suitability.
   2. A calculation comparing the estimated VAT payable under the Flat Rate Scheme with standard VAT accounting, showing every formula and separating confirmed figures from assumptions.
   3. The relevant Flat Rate Scheme category and the source for it, or a warning that the category needs professional confirmation.
   4. The main advantages, disadvantages and cash-flow effects for this business.
   5. Any rules about capital purchases, limited-cost businesses, joining or leaving the scheme, or transactions that could change the result.
   6. A list of missing information and a list of questions to ask an accountant.
   7. A cautious conclusion using one of these labels: likely suitable, potentially suitable but needs checking, or likely unsuitable.
   
   Do not tell me to join or leave the scheme as if you were making the decision for me. Do not prepare or submit a VAT return.

   Open it prefilled in ChatGPT or Claude, or copy it into Gemini, which takes no prefill link.