Expenses - invoicing clientco VAT

[Forbes Young]

Hi

Just getting myself confused as its a long time since I've needed to do this.

I recently travelled to USA as part of my contract. This was not expected but I got an agreement upfront about day rate, expenses incurred etc. but I'm now trying to put the invoice together for the expenses side.

Two examples:

1. Rail travel within UK (cost 120 GBP)
2. Hotel in USA (cost 800 USD and my credit card showing 520 GBP)

So I have paid for both on own credit card and entered an expense claim to myco (I am claiming £120 + £520).

Myco is VAT registered (not FRS) so how do I account for the VAT in the invoice to clientco...

1. Rail travel is £120+VAT (sounds like doubling of VAT) or is it £100+VAT
2. Hotel is £520 (USA therefore no VAT) or is it £520+VAT


Thanks in advance.

If your clientco is a UK company your company should be charging VAT on your sales invoices, relating to what it can collect under the terms of your contract with the client. There is no input VAT on either of the above, so your company should charge £120 + vat and £520 + vat.
If you can claim other expenses that have been incurred in the UK eg taxi to the airport for which you have a VAT receipt then you need to force the VAT out by multiplying by 5/6 eg if taxi fare is £30 the amount you invoice is £25 + vat (so you collect exactly what you have paid).