My holiday cottage booking agent charges me Commission plus VAT on holidays they sell to guests. The contract is between me and the guest. They also charge me commission + VAT on additional items requested by the guests from a standard list ie when they add dogs, logs or request the twin beds to be converted to a super king. The charge for the dogs is for additional cleaning and a dog welcome pack. All of these services including the logs and bed conversion are provided by me at my expense. Is the booking agent legally allowed to charge the VAT on these additional items? Thank you.
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A booking agent's commission and other charges are subject to VAT at the standard rate. I would expect his contract with you states that.
It's all or nothing - the booking agent isn't providing a different service depending on whether extras are ordered or not. They are charging you for doing admin and taking bookings on your behalf, if someone takes extras then what they get from you changes, but what you're getting from the booking agent is exactly the same.
In essence your question actually boils down to 'my agent charges me VAT for doing admin for me, if he charges me more then will he also charge me more VAT'. To which the answer is quite obviously yes.
