Why I Stopped Charging VAT on My Breastmilk and Memorial Jewellery by Nikki Lovegrove, keepsake artist, business owner and single mum.
I’m so excited to announce to you all that I’ve made a change to my pricing structure, effective immediately. Going on, I will no longer be charging VAT on any of my breastmilk or memorial jewellery pieces. I’ve been charging VAT since April 2024 and now that’s ended.
What is VAT?
VAT is a kind tax applied to many goods and services here in the UK. As a VAT-registered business, I was previously required to charge 20% VAT on my products and remit that amount to HMRC every quarter. It cost me a lot in accountancy fees, took time and effort each quarter, and caused me a lot of stress as well as costing you all 20% more!
“Businesses have to register for VAT if their VAT taxable turnover is more than £90,000. They can also choose to register if their turnover is less than £90,000.”- VAT, or Value Added Tax, HMRC
This Decision
After careful consideration, I’ve decided to de-register for VAT. This means the price you see listed is the final price you’ll pay and that doesn’t include or exclude VAT. It means as a single mum I’m able to take more of the turnover to support my little girls and rebuild our lives after escaping domestic and financial abuse. I watched my turnover for a year and because I thought there was a chance I’d go over £90,000 in turnover with UK sales, I decided to register to ensure I didn’t have to worry about accidentally going over. But my orders have been steady (mostly word of mouth, thank you to all my wonderful and loyal clients), so I’ve never approached that figure. I’ve never *needed* to charge VAT so now I’m stopping. It’s all above board, and I’ll still keep an eye if I start getting more orders.
Why I Stopped Charging VAT
- Affordability: I want my keepsakes to be accessible to as many people as possible. By removing VAT, I hope to make these precious mementos slightly more inexpensive and offset the growing cost of the precious metals
- Simplicity: This simplifies my pricing structure, making it clearer for my customers and more fair as UK clients pay the same as international clients at checkout again
- Personal Touch: Creating breastmilk and cremation ashes jewellery is a deeply personal process. I want the focus to be on the emotional value of the piece, not the pressures of analysing tax
What Does This Mean For My Clients?
You’ll now see a small reduction in the overall price of my jewellery. The price listed is the price you pay – no surprises at checkout!
Thank You
Nikki Lovegrove
Artist and Owner
As always, thank you for supporting my small business. I’m passionate about creating beautiful, lasting keepsakes that honour the special bonds we share. If you’re a small business, sole trader or even a limited company and you have questions about VAT or tax please contact my accountant Buhir at Total Books, who will be happy to give you more information about his services. This isn’t an affiliate link and I don’t get paid for saying it, but he’s saved me so much over the years and I’m eternally grateful for his support (although glad I no longer have to do VAT reporting now haha)
