In short
Turnover tax 4%, simplified VAT 6% or the general regime — which costs you least?
In 2026, choosing a tax regime is a make-or-break decision for most small and mid-sized businesses. There are three routes: turnover tax at 4% (up to 12,000 BCU), simplified VAT at 6% (trade, catering and services, with 0% corporate income tax), and the general regime (12% VAT plus 15% CIT). The right answer depends on your margin, whether your customers are VAT payers, how much input VAT sits in your costs, and your growth plans. We model all three on your real numbers and give you a written recommendation. Businesses moving from turnover tax to CIT for the first time are exempt from CIT for one tax period — we plan around that too.
What's included
- All three regimes modelled on your numbers
- The 12,000 BCU threshold and a transition plan
- A written conclusion and recommendation
- Making use of transition reliefs