Hi, I am a VAT Consultant, working mainly with charities. I am based in Cambridgeshire
I have over 20 years experience in VAT, and am currently also a part-time member of the Tax Tribunals.
You are the recipient of the facebook invoice, so you must use the Reverse Charge; output tax in Box 1, and then input tax in Box 4.
You simply charge your customer VAT on £6,000 in the normal way.
Up to 4 years for an assessment; up to 20 years if they think there is fraud.
Your problem is that it is not easy to put pressure on HMRC. But do ask, by email, specifically why the P09/17 repayment is not being released.
Also, where there is an unreasonable delay, the only possible sanctions are Repayment Supplement of Statutory Interest. (Read more here: https://www.accountingweb.co.uk/community/blogs/leshoward/delayed-diy-re...)
Only if you have a Special Method that requires it.
2-3 hours to review contracts, and related correspondence, and an hourly rate of £220 are good value to provide you with something definitive.
As another comment states; very good value compared with you getting it wrong!
VAT is chargeable on a supply, unless it is specifically excluded. I do not think what you describe meets any of the criteria for exemption or zero rating.
I wonder whether there is a concern over who is employing whom?
I agree. Supplies of drink for on-premises consumption is 'catering,' therefore standard rated.
Input tax can be claimed in full where (1) the car is used totally for business purposes, and (2) not available for private use. (SI 1992/3222, art 7 applies).
You suggest that (1) is probably fufilled; I am not sure about (2).
I share your concern.
I would add that, where there is a sale and lease-back, these two transactions may be considered a 'series' of transfers, and so breach the TOGC test.
I would examine the option from the 'third party,' but you will need fuller paid advice to review leases, etc.
Be open with HMRC; explain the circumstances. As an 'unprompted' disclosure any penalty will be reduced.
If sales are B2B, can you approach customers to pay the VAT?
Make sure you have purchase invoices to claim input tax; and include input tax available under the pre-registration rule.