You can self-bill a supplier who isn’t VAT-registered — self-billing isn’t only for VAT-registered businesses. The difference is simple: no VAT is shown on the invoice, and there’s no input VAT for you to reclaim. Many individual subcontractors, affiliates, performers and creatives aren’t VAT-registered, and self-billing works for them too.
Key points
- Self-billing works for suppliers who aren’t VAT-registered.
- No VAT is shown and there’s no input VAT to reclaim.
- Update the supplier’s status if they register for VAT.
What changes when the supplier isn’t registered
The invoice simply shows no VAT. You still raise it, send a copy and pay — the process is the same, but there’s no VAT line and nothing to reclaim as input tax.
Keep the status accurate
If a supplier later becomes VAT-registered, they must tell you, and you start showing VAT from that point. Apex Billing keeps a VAT-registered flag per supplier so the correct treatment is used automatically.
This is general information, not tax advice — confirm your own position with your accountant or HMRC (see VAT Notice 700/62 on self-billing).