A client of ours, builder, is on the flat-rate VAT scheme through a limited company. Vast majority of his jobs carry VAT at the standard rate, so not a problem and it works for them.
However, he's recently landed a couple of big new-build jobs, which will be zero-rated. With the flat-rate scheme this could leave him out of pocket.
Is there a way round this built into the flat-rate scheme? I can't seem to find one.
I've half a mind to advise him to do these jobs separately (or indeed all new-build jobs from here on in) as a sole trader or partnership. Failing that, it might be worth coming off the flat-rate scheme for a while.
Any views/pointers would be appreciated. Cheers.