Free Agent, FRS and £2k+ purchases

[SimonMac]

I know I should ask my accountant, but easier to ask the hive mind and put up with the stick from NLUK for not using an accountant.

Anyway, new company year on Thursday and deciding to splash out on a new laptop to finally replace the 7 year old MacBook. I know I need a single invoice over £2k, and with apple that is easy enough to do, does extra power blocks, cables and HDMI adapters etc count as consumables or can they count towards the £2k capital.

Secondly, I've read that Free agent should "automatically take care" of the VAT element when calculating my VAT return, has anyone experienced this directly?

[northernladuk]

I know I need a single invoice over £2k, and with apple that is easy enough to do, does extra power blocks, cables and HDMI adapters etc count as consumables or can they count towards the £2k capital.

One of many but answers the question.
https://forums.contractoruk.com/acco...-vat-rule.html

Not sure I've ever given you stick for not using an accountant have I? Not searching, being a cockwomble and bearing your arse on CUK do's maybe.

EDIT : First time on the freeagent forum and they've got an 'Ask a question box at the top'. Sweet jesus.. we so need one of these. Admin? Can you make it so or is this idea not compatible with 25 year old forum software?
https://community.freeagent.com/freeagent

[SimonMac]

One of many but answers the question.
https://forums.contractoruk.com/acco...-vat-rule.html

Not sure I've ever given you stick for not using an accountant have I? Not searching, being a cockwomble and bearing your arse on CUK do's maybe.

EDIT : First time on the freeagent forum and they've got an 'Ask a question box at the top'. Sweet jesus.. we so need one of these. Admin? Can you make it so or is this idea not compatible with 25 year old forum software?
https://community.freeagent.com/freeagent

Didn't even know there was a freeagent forum

[Maslins]

I know I need a single invoice over £2k, and with apple that is easy enough to do, does extra power blocks, cables and HDMI adapters etc count as consumables or can they count towards the £2k capital.

They can count, as long as they're all part of the same purchase

Secondly, I've read that Free agent should "automatically take care" of the VAT element when calculating my VAT return, has anyone experienced this directly?

You'll need to explain it as "Purchase of capital asset" (not "Payment" --> "Computer hardware"). Assuming other bits and bobs are as I'd expect and the total cost is >£2k, FreeAgent should automatically pull it through.

[Lance]

Why are you still on FRS?

[DaveB]

Provided it all goes through on one purchase it's fine. You can't aggregate separate purchases, even from the same vendor, to make it up to £2k so make sure you order everything you want cos you cant add other purchases later if you forget something.

No idea how it would work in FreeAgent, that's what I pay my accountant for

[SimonMac]

Why are you still on FRS?

Because it makes almost zero difference (to me), easier to just sent hector the 16.5% and not have to worry about receipts day to day

[SimonMac]

They can count, as long as they're all part of the same purchase



You'll need to explain it as "Purchase of capital asset" (not "Payment" --> "Computer hardware"). Assuming other bits and bobs are as I'd expect and the total cost is >£2k, FreeAgent should automatically pull it through.

Perfect thanks a lot.

EDIT: I assume "Other Capital Asset Purchase" is the same thing?

[Lance]

Because it makes almost zero difference (to me), easier to just sent hector the 16.5% and not have to worry about receipts day to day

oh wow.
Just the accountancy fees make it worthwhile for me, and I have other expenses as work away a lot.
Don't get me wrong, I was better off on FRS 14.5%.

[SimonMac]

oh wow.
Just the accountancy fees make it worthwhile for me, and I have other expenses as work away a lot.
Don't get me wrong, I was better off on FRS 14.5%.

I don't have any accountancy fees (unless Admin starts to charge for access here )