Posts Categorized: VAT

VAT Question of the Week 2

Question My client has a debt on the ledger, which is overdue by more than six months.  After much chasing over a long period, the debtor has now agreed to pay the debt. However, he is saying that he should only pay the net amount as the debt is more than six months overdue and… Read more »

VAT Question of the Week

Question My client is in the process of converting a barn into a residential property.  It has full planning permission allowing it to be used and disposed of independently, but the likelihood is that they won’t live in it but will use it as a holiday property.  Can they make a claim on the DIY… Read more »

VAT Question Of The Week 2

Question My client is a sole proprietor builder who owns land on which he is intending to a build a new house for his own occupation. My client does not want to wait until the property has been constructed and a completion certificate been received in order to claim the VAT using the DIY Refund… Read more »

VAT Question of the Week

Question As a business, we are committed to developing our staff and consequently have a number of employees on training contracts, whereby as their employer we pay for professional training costs and examinations. The terms of engagement are fairly typical in that should they leave within a certain period they are required to repay the… Read more »

VAT Question of the Week

Question My client is a VAT registered Ltd Co that owns a portfolio of rental properties both commercial and residential. The company purchased some land adjacent to a pub on which they incurred VAT. In order to reclaim the VAT, my client opted to tax. The company is now in the process of selling the land to… Read more »

VAT Question of the Week

Question My client trades below the VAT threshold in the UK but is to supply marketing consultancy services to an unregistered business in France. If these supplies take his turnover over £85,000 should he register for VAT in the UK or does he need to register in France, or neither?   Answer For VAT purposes,… Read more »

VAT Question of the Week

Question My client is setting up a new café business and wants to buy some kitchen equipment from Italy.  As she hasn’t VAT registered yet she has been told by the supplier that she will be charged Italian VAT.  Is this correct, and if so can she claim it back?   Answer The supply of… Read more »

VAT Question of the Week

Question My client whose main activity is farming, has been approached by a telecoms company who are based in the Republic of Ireland, who wish to site a phone mast on my clients land in the UK. The telecoms company say they are not expecting any VAT to be charged. Is this because they are… Read more »

VAT Question of the Week

Question My client is on the VAT flat-rate scheme and has received a substantial insurance payout for damage to the trading premises. Should this exempt income be included in the flat-rate scheme turnover?   Answer Compensation paid out as a result of an insurance claim is not exempt from VAT, but is outside the scope… Read more »

VAT Question of the Week

Question My client runs a construction company and the director is considering using self-billing arrangements.  I understand that there needs to be self-billing agreements in place that comply with the requirements in VAT Public Notice 700/62 and that each self-billing invoice needs to contain the statement ’The VAT shown is your output tax due to… Read more »