VAT invoices for carpenters: what you must show

When you have to register

VAT registration becomes compulsory once your VAT-taxable turnover goes over £90,000 in any rolling 12-month period, or if you expect to pass it in the next 30 days alone. For a carpenter that counts everything you invoice — labour and materials — not the profit you keep.

What a full VAT invoice must show

• A sequential invoice number, unique within its series.
• Your business name, address and VAT registration number.
• The customer's name and address.
• The time of supply (tax point) and the invoice date.
• A description of the carpentry and joinery work supplied, per line.
• The VAT-exclusive amount, the VAT rate and the VAT amount per rate.
• The total VAT-exclusive amount and the total VAT payable in sterling.

The rate trap for carpenters

Standard-rated at 20% for fitting and repair work in existing homes. First-fix and second-fix carpentry on a qualifying new-build dwelling can be zero-rated when supplied to the developer or self-builder.

Worked example at 20%

Net total for the job

£713.00

VAT at 20%

£142.60

Total the customer pays

£855.60

The £142.60 is never your money — you are collecting it for HMRC and paying it over on your next return.

Common questions

Should a carpenter charge per day or per item?

Per item for repeatable work such as hanging doors, and per day for fitting that depends on how square the building is. Many invoices sensibly contain both.

How do I invoice for bespoke joinery made off site?

Show workshop manufacture as its own line separate from on-site fitting, and take a deposit that covers your materials before cutting starts.

Who pays for ironmongery the customer chose?

Whoever supplied it. If you bought it, invoice it as its own line at the price you are charging; if they supplied it, note that on the invoice.