VAT Blog
Latest news, thoughts and articles from the world of VAT.
New ebook: VAT on management charges …. now available
VATWoman's Guide to inter-company services, management charges, cost sharing and much more... Dealing with VAT on transactions with associated businesses Now available! "Can we claim VAT on our office costs and legal bills if we raise a management charge to our...
Saving VAT on residential self-builds and DIY conversions
Saving VAT on residential self-builds and DIY conversions. One of the most common VAT subjects is VAT on self-builds (or "DIY" builds) and DIY conversions. Many of you will know that there is a scheme whereby you can claim VAT on certain goods and/or services. It...
What happens if HMRC disagrees with 5% VAT on a conversion or refurbishment?
What happens if HMRC disagrees with 5% VAT on a conversion or refurbishment? So what exactly DOES happen if a contractor has charged 5% VAT for a conversion or refurbishment but HMRC disagrees? Let’s assume I’m a contractor and I did a renovation project for £100,000...
What did I learn in 2015?
After years, no, decades of setting new years' resolutions and failing within the first month, I don't even think about setting myself any sort of resolutions. I know that within the next few weeks, a lot of people will be beating themselves up because they've failed...
VAT, the capital goods scheme and commercial property costing £250,000 or more
This time, we're looking at the VAT capital goods scheme. There are lots of good reasons for avoiding certain payment points, whether for tax purposes, stamp duty, or simply because of your budget. And here's another one: £250,000. So why? It's because £250,000 is the...
VAT News Winter 2015/2016
Now that most of us are back at our desks, I thought it was a good time to review a few topical issues from 2015. These include PPFs and international management charges, but I want to start with a subject that affects anyone who plays golf, tennis or any other sport...
PPFs and the unexpected traps of opting to tax
PPFs and the unexpected traps of opting to tax One of the most common ways to invest pension funds is to invest in property. Sometimes people own a few house to generate rental income; but I've dealt with a number of PPF situations involving commercial property or...
When is a conversion not a conversion?
I'm always being asked about the easiest ways to save VAT on property developments, particularly conversions. But it's not always easy because the VAT rules have 2 different ways of saving VAT on conversions. So you have to know: when is a conversion not a...
Does the client REALLY need the letter by 5pm on a Friday?
Autumn is always a busy time of year. After the summer holidays are long past, clients remember that outstanding project you discussed back in the spring and all of a sudden, you've got your normal day to day client work plus a number of major projects to handle....
Accountants, VAT and property advice
This blog is all about accountants, VAT and property advice. But before I start, I should say that I don't really know how to write this blog without offending some accountants. So I'm going to apologise in advance to any of you who think I'm being unfair. And...
Whatever happened to saying “thank you”?
Today I'm having a bit of a rant. I want to know whatever happened to saying thank you? I'm often left wondering whether there is some unwritten law of business that you don't have to say thank you to someone who helps you out free of charge. Or am I just too old...
And the MOSS trainwreck thunders along.
So am I the only person who isn't surprized that the MOSS system seems to be a bit of a disaster? Remember that this is the scheme where you're supposed to register for VAT if you make ANY B2C sales of e-services to customers in other EU countries. This time last...
VAT news: Carrier bag edition (Sep 2015)
I thought I'd start this time by expressing my admiration for the Queen, who is now our longest servicing monarch. She's a fantastic role model for leaders, whether civic, business, religious or political and it's amazing to think that she began her reign before the...
Additional REsources
A Few Other Resources We’ve Created for Our Customers
The TOMS and serviced accommodation
VAT is a major issue for the SA sector, with many small operators trading in a very tight market. But could SA operators who operate from leased properties save VAT if their business falls within the TOMS? The VAT issues involved are complex and you need to know how...
Property developers, VAT and residential conversions
In the past few months, I've had queries from a couple of developers about claiming VAT on costs. In both cases, the developers have converted old residential homes into apartments, selling or intending to sell long leases in the newly converted apartments. They...
What’s the real VAT cost of a property development?
If you want to avoid mistakes and unexpected VAT bills, you need to do the VAT planning for your development as part of the initial financial planning for the project. It might seem obvious that the VAT cost of a development is the difference between the VAT you pay...