MOT tests - can someone help with VAT treatment?
Strange how so many posts start with 'a new client'. As so often happens, this one has been done no favours by his previous, erm 'bookkeeper'. I'm having to backtrack over a number of years to find when he should have registered for VAT, but the MOT test question is making it more difficult.
He is not an approved MOT centre, so has tests done elsewhere. He charges more than he pays the approved centre, so he is not an agent under VTTAXPER3900, so I don't see how he can treat the cost to him as a disbursement. However, I am reading VTTAXPER48000 incorrectly, as I find two of the VAT treatments conflict. One paragraph says that any amount charged over and above the amount paid is taxable at the standard rate. Yet the next option says that if he does not treat the exact amount that he is charged as a disbursement he must account for VAT on the full invoiced amount.
So, if he only accounts for VAT on the 'profit' under the 1st option, does that mean he has some exempt sales which lead us in to partial VAT calculations?
Any guidance would be greatly appreciated.
- Are there Special Rules for Agencies? 316 5
- Funding Circle Servicing Fee 111 2
- SA online - 4 hour limit 1,246 12
- Alerting clients versus walking away from clients 380 5
- Surprise visit from HMRC! 2,445 18
- Vat 236 4
- CT/CIS offset 97 2
- Statutory accounts, current company address, or one that was correct at EOY? 152 4
- Trade name 152 3
- Musician - Allowable Travel expenses 126 1
- New business - journal entries 299 20
- B2B vat in the EU 100 2
- Stamp duty on multiple property transaction 307 18
- Why should I retain membership? 2,649 45
- VAT on deposits 201 2
- VAT clearance for determining the correct rate to apply 122 1
- Annual tax investigation cover fee? 399 12
- option to tax 202 1
- Share of profits from building society 93 1
- sage vat journal 83 1
- Auto enrolment excuses 775
- Feedback on accounts production software for IFRS 704
- Add T&Cs to Sales Order in Sage 382
- Social investment tax relief 201
- Digita Hosted Software 195
- Call Centre Data Costs 190
- Buying goods in US and selling them to company in US 154
- Travel costs and contractors 147
- Problems with Sage 50 Payroll v21(2015) 138
- Certificates of tax deposit 132