VAT registration

[marc9477]

Hi,

I created my Limited Company last week, and start my first contract on Thursday. I was told by my accountant that there is currently an approximate 6 week wait to get my company registered for VAT. Does this mean that I won't be able to invoice my client until this registration is complete?

thanks

[XLMonkey]

nope, you just issue an invoice with VAT Registration pending at the bottom of it. When you get your VAT number, you then issue another invoice for the outstanding VAT.

[reginald]

6 weeks is unrealistic. I applied in mid January and am still waiting for my registration. I've submitted a couple of invoices with VAT pending and they have been paid no problems.

[despot]

depending on your circumstances, make sure you go flat rate as it can leave a few extra shillings in your bank account!!

http://customs.hmrc.gov.uk/channelsP...00345#P52_5004

[gingerjedi]

I just got a letter from the VATman asking for further details about my business as I didn't have a contract to prove 'intent to trade' at the time of applying, is it just a formality or should I be careful what I write?

I do now have a contract but I am a bit worried about forwarding it to the VATman for obvious reasons!

[gingerjedi]

nope, you just issue an invoice with VAT Registration pending at the bottom of it. When you get your VAT number, you then issue another invoice for the outstanding VAT.

I have been with a an umbrella up until now and have only had a Ltd for a week, my agency is 'self billing' so in the past I would fax a time sheet to my agency who would pay it to my umbrella and then the money would arrive minus deductions into my personal bank account.

Now I assume I will get the invoice emailed to me showing the money has been paid into business account and I should pass this on to my accountant so he can do the sums and advise me what I should pay myself split over PAYE and dividend, is this correct?

Should I just advise that the VAT is pending so they pay the full amount?

[Sockpuppet]

I just got a letter from the VATman asking for further details about my business as I didn't have a contract to prove 'intent to trade' at the time of applying, is it just a formality or should I be careful what I write?

I do now have a contract but I am a bit worried about forwarding it to the VATman for obvious reasons!

Just send him a reciept that you want to claim the vat back from and an invoice with services you want to charge on.

There is nothing to say that you MUST have a contract in place to trade. Most people do but they are not nessecary.

[gingerjedi]

There is nothing to say that you MUST have a contract in place to trade. Most people do but they are not nessecary.

Cheers for the reply, so how do I go about telling the VATman to stop being so nosey and just give me a feckin' VAT number?

I have applied for VAT registration in the normal way but my accountant warned me this would happen if I didn't provide proof of trade when I applied and now its just delaying the process.

[malvolio]

Rule 1 - Do NOT piss around with the VATman. They are actually honest and competent (unlike most of the Hectors on the other side of HMRC) and carry a big stick. Send them a copy of the agency contract schedule with the end client's name removed, you don't need to include all the subsidary detailed clauses - all they need to see is proof of a contract between YourCo and the Agency

[gingerjedi]

Rule 1 - Do NOT piss around with the VATman. They are actually honest and competent (unlike most of the Hectors on the other side of HMRC) and carry a big stick. Send them a copy of the agency contract schedule with the end client's name removed, you don't need to include all the subsidary detailed clauses - all they need to see is proof of a contract between YourCo and the Agency

Thanks for that, it’s the sort of answer I wanted to hear as I didn't want to volunteer unnecessary information to the taxman no mater which department he works for

They are asking for specific info on what I actually do, should I say something like "***** IT Services ltd provide knowledge based support to both the public and private sectors" or should I be more specific?