My apologies.
I thought this was a forum where people gave constructive answers.
It is an aspect that has always confused me. If you honestly think that VAT notice 708 is an easy read and as clear as day then you are quite clearly a better person than I am, or possibly lacking in friends and have alot of time on your hands.
@thomas34, Manchester_man and DJKL, thanks for the constructive ideas. They are in line with what I was thinking.
The customer has acknowledged that they have underpaid and are amenable to making a goodwill payment. This is a situation where neither party would want to upset the other and an ongoing working relationship is more important.
All I was trying to do was ascertain whether anyone knew any obvious contract law which would help in my initial negotiations. I would not want to approach the customer and ask for the full amount if it was clearly the case that I could only go back 6 years. Not sure why some people on here insist on making what they presumably think are either clever or witty comments.
I'm trying to put an offer together now, but don't want it to be ridiculous. If I know for sure I am restricted to 6 or 12 years then I will put an offer forward based on that, and not 40 years.
Well, yes, I sort of agree, but I actually also think that this is a relatively straightforward question which someone with a good degree of contract law understanding would be able to give a decent reasoned answer to.
The MD has taken some further advice (not from a tax professional) who has suggested that the way forward would be for us to remain as we are and claim back VAT at the standard rate throughout the build process. On the sale of the property we would then repay the government the 5%.
Personally I cannot see how this would work for all sorts of reasons, but would be grateful for your thoughts.
The MD has taken some further advice (not from a tax professional) who has suggested that the way forward would be for us to remain as we are and claim back VAT at the standard rate throughout the build process. On the sale of the property we would then repay the government the 5%.
Personally I cannot see how this would work for all sorts of reasons, but would be grateful for your thoughts.
I also do not understand how section 8 of VAT 708sits alongside section 16.4 which seems to state that a subcontractor must always charge the standard rate.
This is exactly the trouble we seem to be having with HMRC.
The eventual sale will be exempt. However, the VAT office told me yesterday that this is not relevant to the refurb work undertaken. I agree that we are not self supplying, but the explanation I gave in the initial question is how HMRC told me I would have to deal with it. Notice 708 seems to be full of contradictory advise and when we wrote to the VAT office asking for guidance they said they would not give any and that we should look at Notice 708. Personally I think we should be able to approach our local MP as a representative of the people that come up with this nonsense and ask them for the decision, maybe that way the government might think about making this clearer!
My answers
My apologies.
I thought this was a forum where people gave constructive answers.
It is an aspect that has always confused me. If you honestly think that VAT notice 708 is an easy read and as clear as day then you are quite clearly a better person than I am, or possibly lacking in friends and have alot of time on your hands.
Thanks Bernard
Didn't see your reply.I think it may have crossed with mine.
My friendly solicitor is on holiday at the moment. Typical!!
@thomas34, Manchester_man
@thomas34, Manchester_man and DJKL, thanks for the constructive ideas. They are in line with what I was thinking.
The customer has acknowledged that they have underpaid and are amenable to making a goodwill payment. This is a situation where neither party would want to upset the other and an ongoing working relationship is more important.
All I was trying to do was ascertain whether anyone knew any obvious contract law which would help in my initial negotiations. I would not want to approach the customer and ask for the full amount if it was clearly the case that I could only go back 6 years. Not sure why some people on here insist on making what they presumably think are either clever or witty comments.
I'm trying to put an offer together now, but don't want it to be ridiculous. If I know for sure I am restricted to 6 or 12 years then I will put an offer forward based on that, and not 40 years.
His excuse is that he is an artist!!
Well, yes, I sort of agree, but I actually also think that this is a relatively straightforward question which someone with a good degree of contract law understanding would be able to give a decent reasoned answer to.
Worth a try initially.
Morning
Thanks very much for the reply.
The MD has taken some further advice (not from a tax professional) who has suggested that the way forward would be for us to remain as we are and claim back VAT at the standard rate throughout the build process. On the sale of the property we would then repay the government the 5%.
Personally I cannot see how this would work for all sorts of reasons, but would be grateful for your thoughts.
Kind regards
Jon Dawson
Morning
Thanks very much for the reply.
The MD has taken some further advice (not from a tax professional) who has suggested that the way forward would be for us to remain as we are and claim back VAT at the standard rate throughout the build process. On the sale of the property we would then repay the government the 5%.
Personally I cannot see how this would work for all sorts of reasons, but would be grateful for your thoughts.
Kind regards
Jon Dawson
Thanks
Been away for a while and just taken a look.
Thanks for all the posts and suggestions. I will give them all a look, but may well stick with TAS for the foreseeable future.
Jon
I also do not understand how section 8 of VAT 708sits alongside section 16.4 which seems to state that a subcontractor must always charge the standard rate.
Oh dear!
This is exactly the trouble we seem to be having with HMRC.
The eventual sale will be exempt. However, the VAT office told me yesterday that this is not relevant to the refurb work undertaken. I agree that we are not self supplying, but the explanation I gave in the initial question is how HMRC told me I would have to deal with it. Notice 708 seems to be full of contradictory advise and when we wrote to the VAT office asking for guidance they said they would not give any and that we should look at Notice 708. Personally I think we should be able to approach our local MP as a representative of the people that come up with this nonsense and ask them for the decision, maybe that way the government might think about making this clearer!
Thanks for all your help though.