Quay Accounting

[4Contractors]

Re: Being picky

My dear Malvolio hasn't your accountant mentioned the Inland Revenue flat rate VAT scheme to you ?

I save around £1000 a year using this scheme but of course am unable to reclaim the VAT back from accountancy fees because the scheme does not allow VAT claims on normal purchases.

I think most contractors using a limited company would financially benefit by using this scheme.

[ASB]

Most?

Probably. But for those doing any work outside GB that turnover is still included in the calculation. For us flat rate vate would cost us about 15k.

[4Contractors]

Re: Most?

Unfortunately most options available to contractors do not benefit everybody but hopefully the majority will derive some benefit.

With regard to accountancy costs though the point is very clear - £80 with or without VAT is still 60% more than £50 with or without VAT - it's your money and your choice

[Simon SJDaccountancy]

Re: Most?

Quote:

"My dear Malvolio hasn't your accountant mentioned the Inland Revenue flat rate VAT scheme to you "

Fiddle, Rhino - of course we have mentioned the VAT flat rate scheme to all our clients, calculated on an individual basis exactly whether it was actually beneficial to them, and then registered them for the scheme if beneficial.

Plug you own people by all means, but do so by extolling their benefits, not trying to damage the reputation of others.

[4Contractors]

Re: Most?

but VAT isn't part of the equation, is it...

...indicates this not to be the case.....

......Is Malvolio using the flat rate scheme because my interpretation of his comments indicate not, which is why I asked the question, defending my earlier point ?

Simon, I am slightly puzzled by your reaction - this was not an attempt to belittle your services - we have never implied that there is any problem with the accountancy services your company offers !!

[malvolio]

Flat rate VAT

Actually I'm not using the flat rate VAT scheme, because during this finanical year I've bought a fair amount of replacement hardware and other related odds and sods and not earned a lot of money (comparatively speaking!) - so I get more back by doing it the old fashioned way. After all, I run a business and have to sort of try to keep abreast of these things . Next year may be different.

And yes, SJD were (as usual) very quick to highlight the scheme and explain the potential benefits - it's just that, for MyCo this year, they aren't any.

And going back to the original point, I didn't twig the connection between flat rate scheme and having to use gross cost. Ho hum...

[milliamp]

value for money

But I am paying, with a reduced vat rate, 109.25 and I feel that I'm doing all the work , the designated contact at the Accountants' Guildford office wont talk to me except by email, there is nothing proactive from their side and I feel that my accounts are in a state that I dont understand.
I therefore have to know all the questions to ask and to ask them in good time.
It's not helped by the need to run their spreadsheet which cant fit on a 19" screen.
It's almost at the point that I write off the next 6 months payments to them and start again. What recommendations for a proactive firm, with a book keeping service ?

but VAT isn't part of the equation, is it...


However, I have heard stories of people paying £125 a month and still having to do their own VAT, SA forms and PAYE and stuff - now they are the ones that need to think again.