Now show, zero VAT

[ASB]

As usual it depends.....

- was it a cancellation? If yes then vat not due as it is a compensation payment as per malvolio description.

- was it a no show? If yes and the room was guaranteed (ie available and not able to be relet) the vat is due. Else not.

One would imagine that it would be the former. This is quite likely wrong since a lot of bookings have a "release at 1 am" type clause. Though some offer guarenteed late arrival on request.

I am sure thare will be numerous threads on accounting web etc.

There is also a vat notice.

https://www.gov.uk/government/public...otels-and-holi

[Eirikur]

As usual it depends.....

- was it a cancellation? If yes then vat not due as it is a compensation payment as per malvolio description.

- was it a no show? If yes and the room was guaranteed (ie available and not able to be relet) the vat is due. Else not.

One would imagine that it would be the former. This is quite likely wrong since a lot of bookings have a "release at 1 am" type clause. Though some offer guarenteed late arrival on request.

I am sure thare will be numerous threads on accounting web etc.

There is also a vat notice.

https://www.gov.uk/government/public...otels-and-holi

It was the latter a no show as a cancellation wouldn't make sense as I would not get my money back anyway, so why bother to cancel.

[malvolio]

It was the latter a no show as a cancellation wouldn't make sense as I would not get my money back anyway, so why bother to cancel.

If you're worrying about 20% of a bill you did nothing to avoid I suggest you look again at your fee structure...

HTH

[TheCyclingProgrammer]

- was it a no show? If yes and the room was guaranteed (ie available and not able to be relet) the vat is due. Else not.

Interesting discussion, article here (bottom comment) suggests the case law that established the above has been superseded and a no-show is effectively a cancellation, which would make any fee charged or deposit retained, compensation, not consideration for a supply:

https://www.taxation.co.uk/Articles/...02/no-show-vat