Hi
One of my group's subsidiaries rents serviced office accomodation in London from a US-based company. They have recently opted to tax the building and, as a result, are issuing invoices including VAT.
However, the invoices are not properly addressed and do not show a VAT number. I went back to them last month after creating a pro forma invoice whith the correct details on it, but this month's invoice is still in the wrong format.
I know that I cannot recover the VAT without a proper invoice. But if the company refuses to issue a proper invoice, what is my recourse?
Replies (6)
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Threaten VAT Compliance
Hi,
You could also use the old "I'll report you to the VAT Compliance Team"!
Whilst we both know such a "report" would be fairly pointless (and hence a pretty idle threat), it will probably urge them to sharpen their act and shine their shoes!
Simple pay the invoice but not the VAT, when they chase for the balance tell them you are happy to pay when the correct invoice is issued.
How do you know?
Sorry to ask this question, but how do you know that they opted to tax the building, on one hand, and that it has effectively been processed, accepted and granted by HMRC?
Could that be the reason why they cannot produce a VAT number? It sounds that they were not VAT registered.
What do you mean by 'the invoice is in the wrong format'?
When you say that they include VAT means that they show the VAT amount separately, but not VAT number and no wording stating that they are still awaiting for number?
What would you do if a supplier sent you a wrong invoice or an invoice with the wrong amount? Would you pay it? This case is not different from that scenario. As it stands the invoice is wrong and you are disputing the amount.
Companies supplying serviced office accommodation are not the best in administration, dealing with invoices, credit notes, charges (they always overcharge), etc. Most of their systems are automated so who cares afterwards?