VAT Flat Rate Scheme Update

[SueEllen]

Ok - stupid question but what about direct debits for things like mobile business phones, accountant fees - how do you get a vat invoice for those?

Your accountant should send you a VAT invoice at least once yearly via email. If not ask them for it.

Your mobile provider should provide you with online invoices. If you can't find the VAT on them just call them.

With Amazon you can go back and request VAT invoices for older purchases through your account. They will post out paper ones.

If you stay in hotels a few now will email you a VAT invoice.

[css_jay99]

Ok. So you've got ~£300 in reclaimable VAT. IDK your rate so I can't calculate how much you'd be gaining on FRS but if we assume £100k revenue the gain is £200 so you'd be better off by £100 on the FRS. Less if your revenue is less. More if it's more.

from your assumption ..... he/she should be £100 better off under the standard VAT scheme

[Alan @ BroomeAffinity]

from your assumption ..... he/she should be £100 better off under the standard VAT scheme

Indeed. Typo. [emoji4]

[Unseen]

Seem to be 'advising' us to stay in the FRS but forgot to mention that you should consider other vatable expenses such as mobile phone, insurances, travel, IT equipment etc which for most of us make the benefit of leaving FRS worth a lot more than the 'relatively insignificant sum of between £78-£128 '

Got the same advice from the same company however my accountancy fee alone is £2588 pa so it's worth claiming VAT back. If you add other expenses it's definitely worth it, so requested to be de-registered from FRS. I kept receipts anyway, so no change for me and I don't do that many purchases per month.

[eek]

Got the same advice from the same company however my accountancy fee alone is £2588 pa so it's worth claiming VAT back. If you add other expenses it's definitely worth it, so requested to be de-registered from FRS. I kept receipts anyway, so no change for me and I don't do that many purchases per month.

You need to find another accountant i think you are paying over £1000 above the odds

[b r]

Just had an update from our accountants (SJD):

Goods do not include:*
any services - which is anything that isn't goods
expenses like travel and accommodation
food and drink eaten by yourself or your employee(s)
vehicle costs including fuel unless you are in the transport business using your own, or a leased vehicle
rent, internet, phone bills and accountancy fees
gifts, promotional items and donations
goods you will resell or hire out unless this is your main business activity
training and memberships
capital items for example office equipment, laptops, mobile phones and tablets

This now includes 'expenses like travel and accommodation' and 'accountancy fees'...

[eek]

Just had an update from our accountants (SJD):




This now includes 'expenses like travel and accommodation' and 'accountancy fees'...

It always has done which is why as soon as the changes were announced we knew that if you used an accountant it probably made sense to leave.

[Alan @ BroomeAffinity]

my accountancy fee alone is £2588 pa.

[emoji15]

[cwah]

Trying to find out what is or isn't allowed.

1. I go to the working site via my LTD company moped. Does repair on the vehicle count as good? I'll buy parts that will be necessary to fix the vehicle such as tyre, chain, battery, etc.

2. I'm planning to use a room as office. Does updating the office to better standard count as good?
- New carpet
- New paint
- Chairs
- Sound proofing walls

3. I regularly need new parts for my office equipements such as mouse, battery bank, dust remover, etc. I assume these are all goods?


I'll need to do all of these at some stage anyway, and I'd be very annoyed to have to deduct VAT on every single item. Just checking if by spending appropriately I should stay in the Flat rate vat. Especially because my earning is not high so the 2% can be reached quite quickly.

[northernladuk]

You rent a room to yourself as an office at 4 quid a week. The carpet and the like are your personal costs in your house. Chair and equipment you can claim. Sound proofing walls? Just turn the volume down and put subtitles on.... Who the he'll reads the story lines of pornos anyway.

Spend a little more time speaking to your accountant as well