> For the complete documentation index, see [llms.txt](https://bundus.gitbook.io/help/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://bundus.gitbook.io/help/settings/turn-on-vat.md).

# Turn on VAT for your business

Turn on VAT so Bundus can calculate tax on standard-rated quotes and invoices.

> **Before you start:** Turn on VAT only if your business is registered to charge it. This guide explains Bundus behaviour, not tax or legal requirements.

### Enable VAT

1. Open **Settings**.
2. Under **Business**, select **Business Profile**.
3. Confirm that **Location** is correct. Bundus uses it for regional labels and tax defaults.
4. Turn on **Charge VAT**.
5. Enter your **VAT registration ID**.
6. Confirm the **Default VAT rate (%)**.
7. Select **Update business info**.
8. Review the **Enable VAT?** warning, then select **Enable VAT**.

![Business Profile showing VAT enabled with a registration ID and default rate](https://1239150628-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F0xEFjtRHcsV7HPwU6C74%2Fuploads%2Fgit-blob-a0282299a224c8774ce8aae94623260e35483afd%2F01-vat-settings.jpg?alt=media)

### Check the result

Bundus displays **Business profile updated** and records when VAT was enabled. Prices entered in Bundus remain VAT-exclusive; VAT is added to standard-rated amounts.

Existing bookings display a VAT preview and VAT-inclusive total after you enable VAT. Invoices that were already issued keep their original totals.

![Existing booking showing an exclusive subtotal, VAT preview, and unchanged invoiced amount](https://1239150628-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F0xEFjtRHcsV7HPwU6C74%2Fuploads%2Fgit-blob-29a6ccc3a6031b6169ff373c7fe0ca58c66d5cff%2F02-booking-vat-preview.jpg?alt=media)

> **Important:** The confirmation warning states that existing accepted quotes keep their agreed tax treatment. Review current bookings and documents before relying on a new tax setting.

### Related guides

* [Complete your business profile](/help/getting-started/complete-your-business-profile.md)
* [Set default invoice notes](/help/settings/set-default-invoice-notes.md)
* [Create an invoice for the full booking balance](/help/invoices/create-a-full-invoice.md)


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