We sale goods on behalf of customers, and charge the a commission based on a %. There are often costs on servicing the goods involved. Can I exclude thess costs for VAT calculation, so the customer pay for the servicing charges separately?
For example, goods sold for 10k, servicing is 2k, our commission is 10% + VAT
Servicing 2k, we agreed to pay the customer 6k
When we calculate the commission + VAT, should it be
Service 2k + commission 2k (1.6k+VAT) OR Commission 4k (3.3k + VAT)