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5% VAT on receipt still showing

Receipt still showing 5% vat post 1st October 2021 and not 12.5%

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The VAT charge of 5% for the hospitality industry changed from 1 October to 12.5%.

What are others doing if the vat receipt from a supplier dated since 1st October 2021 still shows vat at 5% on instead of 12.5%. I am of course only claiming 5% Vat, but has anyone else come across this?

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chips_at_mattersey
By Les Howard
28th Oct 2021 13:39

Oh yes.
I had two meals last week both showing 20% VAT!

Thanks (1)
Replying to leshoward:
Jason Croke
By Jason Croke
28th Oct 2021 13:57

Hi Les

Were both your "meals" just alcohol by any chance?
:)

I had exact same last week, receipt from a cafe with 20% VAT on it and I only had a coffee.

To answer the question, you can only reclaim VAT based on what you've been charged/what shows on the receipt/invoice.....technically if you have been charged the wrong rate of VAT, then its not recoverable at all as HMRC would argue its not VAT, its an error....so if Les or I tried to put our meals through expenses and claim the VAT, the VAT isn't technically reclaimable because a meal or coffee is not 20% VAT, its reduced rate....but doubt HMRC would get into a frenzy over a few pounds.

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Replying to Jason Croke:
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By Hugo Fair
28th Oct 2021 14:00

But, I'm guessing this doesn't address OP's (not overt) question ... which I read as:

I was expecting an invoice for £x + 12.5% VAT, but received instead one for £x + 5%. I've now paid the invoice, but should I be expecting to receive another invoice later for the missing 7.5%? Or indeed should I be notifying the supplying of their error so that they can re-issue the invoice?

EDIT: this crossed with your later Edit/Update, Jason!

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Replying to Hugo Fair:
ALISK
By atleastisoundknowledgable...
28th Oct 2021 14:37

I read it (assumed) as a gross amount £Y inclusive of VAT @ 5% ie a resultant VAT under claim of 7.5%.

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Replying to Jason Croke:
RLI
By lionofludesch
28th Oct 2021 14:55

Jason Croke wrote:

Hi Les

Were both your "meals" just alcohol by any chance?
:)

[chuckle]

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Replying to lionofludesch:
chips_at_mattersey
By Les Howard
28th Oct 2021 15:33

No. Healthy salads, as it happens!

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Replying to Jason Croke:
chips_at_mattersey
By Les Howard
28th Oct 2021 15:34

No. Healthy salads, as it happens!

Thanks (0)
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By Paul Crowley
28th Oct 2021 14:16

So many EPOS systems to update
So few people that understand how to do it

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By fawltybasil2575
28th Oct 2021 14:36

@ Marsh1 (OP).

In order to fully answer your question, and equally importantly to advise you whether (and, if so, with what words) you should write to the supplier, one needs to know:-

(i) The nature of the supply,
(ii) Whether the invoice is a “VAT-inclusive” invoice or not; and
(iii) Whether you consider that the total amount of the invoice is correct.

Please provide the above information (in the meantime, you should not claim the purported 5% ”VAT” since the invoice is NOT VALID, regardless of the fact that the “VAT” shown on the invoice is less than what you believe to be the correct figure).

On the balance of probabilities (but not a certainty) the supplier is aware of the error (probably due to not updating their software): a possibility is that the supplier is unaware of the error, which will almost certainly impact on invoices issued to many other customers, and hence in such case they should be grateful for their being advised of the appropriate corrective action.

Basil

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By the_drookit_dug
28th Oct 2021 19:52

I've seen cases where the EPOS system hasn't been updated (still showing everything at 20%), but the correct rate of VAT is applied when the Daily Gross Takings are posted to the accounting system.

Fine if the EPOS receipts don't show the VAT, but an issue if they do.

Thanks (1)
A Putey FACA
By Arthur Putey
29th Oct 2021 11:51

You do not need a VAT invoice for some types of supply if your total expenditure for each taxable supply was £25 or less (including VAT). That takes care of most subsistence type hospitality purchases.

And you could also consider VIT31200 before, er, making too much of a meal of it.

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