SIC codes?

Edward

I was wondering if someone could help me, I'm in the process of getting VAT registered, but I've been told my SIC code is inaccurate to my company ( I'm a IT consultant).

What exactly is a SIC code? and does it really matter what one I use?

Also, does anyone know where I can get an accurate list of SIC codes?

TomFromCrunch

Hey Edward - SIC stands for 'Standard Industrial Classification'. These are used to classify businesses by the type of activity in which they're engaged. You can't form a limited company without one.

Companies House has a guide to which one you'd fall under - you'd be best off having a look to see if there's any other options that more accurately reflect what you do, but if 'Information technology consultancy activities' sounds right, the code is 62020.

TomFromCrunch

Oh yeah, and the reason this is important is - predictably - for working out tax. They use this to figure out if you're a limited cost trader for flat rate VAT or not. If you're a limited cost trader then you'll be charged 16.5%; you may be able to pay lower rates if you aren't.

This Crunch Knowledge article goes into more detail about limited cost traders if you need a bit more info!

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