VAT Blog
Latest news, thoughts and articles from the world of VAT.
Not another VAT newsletter: October edition
Brexit is only a few months away, but with no deal on the table yet, there is very little definitive information about the VAT implications for businesses. HMRC has started writing to businesses with limited guidance so watch out for information, especially if you do...
August newsletter 2018
Well it might have been hot and we might still be in the summer "silly season", but HMRC has been busy with new Business Briefs and information about Making Tax Digital. Revenue and Customs Briefs Revenue and Customs Brief 7 (2018) "VAT - motor dealer deposit...
Serviced accommodation, the TOMS and understanding section 7.6
It's certainly seems that serviced accommodation ("SA") is the noisy kid in town at the moment; particularly in connection with the Tour Operators Margin Scheme (TOMS). If you're not familiar with the TOMS, it's a scheme for holiday operators to calculate VAT on...
The VAT book every accountant should own: Inter-company transactions and management services
I've had some fantastic feedback about my book "VAT on inter-company transactions and management services", which is now available on Amazon in paperback. It deals with a range of everyday transactions, from cost sharing to disbursements to management charges, that...
Not another VAT newsletter July edition
Check out this month's newsletter for recent developments
Company directors and VAT penalties
Did you know that company directors can be held personally liable for VAT penalties? If a company has made a deliberate error on a tax return (either a ‘deliberate not concealed’ error, or one that is ‘deliberate and concealed’), HMRC can reallocate up to 100% of the...
Making tax digital for VAT
I recently saw an article reporting that HMRC has not yet prosectured any businesses who trade on Ebay, Amazon and other online platforms for VAT avoidance. I don't know whether the report is true, but if so, I can only assume that part of the reason is the...
The VAT invoice
Quick blog this week, but about a very important issue that affects anybody submitting a VAT return and the humble document otherwise known as the VAT invoice. We all know that HMRC is constantly looking for ways to increase the VAT revenue. Even if you think you do...
Single and multiple supplies
I recently took part in a webinar about the subject of single and multiple supplies. My co-presenter was the very accomplished solicitor Chris Bates from Norton Rose Fulbright, who discussed recent caselaw about the subject, while my job was to discuss some of the...
Serviced accommodation
Over recent months, I've had more and more queries about VAT and serviced accommodation, asking whether it's possible to reduce the VAT liability of the income by various means. Unfortunately, it's very difficult to do this. Serviced accommodation is regarded as...
Not another VAT newsletter February 2018
Affiliation fees and advanced learner loans HMRC has withdrawn the concession that allowed affiliation fees for sports clubs to be VAT exempt to be exempt from 1 April 2018: see Revenue & Customs Business Brief 01/2018. HMRC has also confirmed that the receipt...
VAT, converting pubs and other commercial property
There are certain VAT issues that are unique to public houses and other commercial properties that either contain existing self-contained domestic accommodation; or properties that don't have existing self-contained properties but have been used as dwellings. This...
Serviced accommodation podcast
If you're considering serviced accommodation as a business activity, you may find this podcast helpful http://tinyurl.com/ydg3fmlt It's about some of the most important VAT issues relating to serviced accommodation and particularly the income side of things,...
Additional REsources
A Few Other Resources We’ve Created for Our Customers
Back to basics: Transactions with associated business
One of the most common problem areas in VAT is dealing with VAT on transactions with associated businesses. This includes sharing out the office rent or raising a management charge for directors' services. This is the first of 3 posts that I'm planning on the...
COVID; answering your queries and the new rules for sub-contractors
I cannot believe that it's already April. If, like me, you have have been affected by COVID either medically, professionally or for any other reason, then chances are you're struggling a bit even if you're past the worst. God Bless to anyone who is struggling...
November newsletter and new podcast
Another busy week! With the Chancellor's autumn statement this week, it's going to be particularly busy for businesses. And with 1 January almost here, any businesses involved with EC trade MUST ensure that they have updated their systems to be compliant for leaving...