What FRS rate to use for period ending 1 Apr 2017

[Lumiere]

Just realised I didn't do the VAT return before 6th of April as I planned to.

Do I still use the old rate of 14.5% for payments received before 1st of April 2017 ?
I am pretty sure I do, but wanted to double check.

What I am not sure is what % to apply in the next return to work done in March but payment received mid-April (VAT Cash Accounting Scheme).

Thanks

* my accountant is on holiday and the only post I found via search referred to invoice raised, not payment received dates.

[SueEllen]

Yes.

[Lumiere]

Yes.

Thanks, what about second question ?

[SueEllen]

Thanks, what about second question ?

Standard or flat rate scheme?

If Standard 20% while flat rate 16.5%.

You account for VAT when you receive the payment.

[fidot]

You account for VAT when you receive the payment.

Only if using Cash Accounting, which we should do. Otherwise, it's the date of the invoice.

[SueEllen]

Only if using Cash Accounting, which we should do. Otherwise, it's the date of the invoice.

First post states cash accounting.

[nozmeister]

I was going to ring up the VAT helpline as VAT notice 733 says "The low cost business rate came into force on 1 April 2017. You must split the return into 2 periods with the second period starting 1 April 2017. The test shouldn’t be done for the period before 1 April 2017. The calculation for the second period shouldn’t include any turnover or supplies from the first period."

Which sounds like you may be able to pay 14.5% on an invoice raised in March but paid in April.

If you do it before me please post the answer

[Chart Accountancy]

I was going to ring up the VAT helpline as VAT notice 733 says "The low cost business rate came into force on 1 April 2017. You must split the return into 2 periods with the second period starting 1 April 2017. The test shouldn’t be done for the period before 1 April 2017. The calculation for the second period shouldn’t include any turnover or supplies from the first period."

Which sounds like you may be able to pay 14.5% on an invoice raised in March but paid in April.

If you do it before me please post the answer

All payments received from 1st April 2017 will be applied with the 16.5% FRS (or 15.5% if in the first year of vat registration) when on the cash based turnover. There is only a special rule in force for payments received in the period from 23 November 2016 and before 1 April 2017 where the payments relate to services taking place after 1 April. In which case even if the payment is received before 1st April, those supplies will be treated as taking place on 1 April 2017 for the purposes of ascertaining your relevant turnover -see point 9.7 of the VAT notice 733.