VAT Blog
Latest news, thoughts and articles from the world of VAT.
Astra Zeneca and Employee Benefits
Astra Zeneca and Employee Benefits: Last year’s ECJ decision in the case of Astra Zeneca UK Limited (“AZUL”) got a lot of people in the VAT world terribly excited. It seemed to me that the decision was correct within the meaning of both EC and UK VAT legislation, but...
The Importance of Asking the Right Question!
The importance of getting the question right A couple of weeks ago, I had a bit of a moan on the blog about HMRC giving incorrect or incomplete advice about VAT issues. Since then, I’ve been thinking a lot about the problems of asking for and receiving advice about...
Definition of Education Exempt
Q: I am having difficulty trying to understand if my education services will be VAT exempt despite my reading the VAT guidelines! I am a sole trader/private tutor and my work involves a number of areas all to do with special educational needs such as Dyslexia. I...
export vat
Q: Hello there, I have an enquiry about vat that I'm having trouble getting definitive answers for, customs don't want to answer hypothetical questions, I assume for fear of incriminating themselves. I'm English and I currently live in New Zealand and want to export a...
A client in Dubai who has not paid the vat on our bill
Q: Hi Can somebody answer a question which I am unsure about? Our client, who is a Dubai based company, has not paid the vat on our bill. We carried our legal services work for them. Thanks A: Hi Certain services supplied to overseas customers are “outside the scope”...
A lack of reasonable care and failure to disclose?
I get no pleasure from writing blogs about this subject, but here I am again. Yet another situation where somebody has been given incorrect advice from HMRC because the officer didn’t know enough about the subject. This is the third time in the past couple of months...
Artificial business separation
Q: My Mother and her partner own a business supplying and installing aerial and satellite equipment to people in North Wales. The business is registered as a self employed partnership, not a limited company. This business has never had (and probably will never have) a...
DIY Housebuilders Claims
The VAT DIY Housebuilders scheme is the scheme which enables private individuals who build their own home to recover VAT on the cost of certain goods. Commercial housebuilders can recover such VAT through their VAT returns and the purpose of the DIY Housebuilders...
VAT payable on commercial property bought to convert to student halls
Q: I am considering purchasing a commercial building. My intentions would be to purchase the property through our residential investment company (which isn't VAT registered) and immediately convert it to student halls (consisting of 5 separate flats). One of my major...
VIES system and intra-community transactions
Q: Free lancer based in UK and a company based in France I am a free lancer, taxable person in UK and i offer consultancy services to a company in France. The company is not registered in VIES but they assure me that they have a valid (legal) VAT number and they will...
How far back can VAT be claimed…..
Q: Hi. I have had an inactive VAT registration for approx 2 years now- nil returns submitted each time. 10 months ago i was made redundant and i inested a littkle in trying to get something of the ground...prob just broken even but i still submitted Nil returns....i...
Last minute VAT rate rise savings & cashflow tips
Well it’s the final run up to Christmas and I imagine that most people won’t be able to do much between now and the new year in preparation for the 20% VAT rate. But here are just a few last minute reminders about things that can help every business deal with the new...
Twelve Important VAT Rate Change Facts
1. The important date is 4 January 2011! 2. The new VAT fraction will be 1/6. 3. Check out the new VAT rates for businesses using the Flat Rate Scheme. 4. Take advantage of the change of rate supply rules for supplies spanning the rate change. 5. Consider pre-payments...
Additional REsources
A Few Other Resources We’ve Created for Our Customers
5% VAT rate and residential renovations
Without doubt, one of the most confusing subjects in VAT is the 5% VAT rate and residential renovations. Every now and again, I get a sudden rush of queries from developers and private individuals about when they can claim the reduced rate of VAT and how they can...
VAT News Oct 2017
Hi there It's half-term week already, or coming up depending on where you live. I hope you're enjoying the wonderful autumn weather and that you're keeping busy. My paperback VAT for residential property developers and contractors" is now available on Amazon and even...
One small squiggly letter and property development….
My Dad would have been 101 on Thursday 19th October had he lived. So ever year, around this time, I'm incredibly lucky to remember the most wonderful, loving, principled, sensible and strong man. We were very fortunate to have wonderful parents. When my father was a...