The Flat Rate Vat Scheme

[ndoody]

So when your on this VAT scheme is there such a thing as reclaiming the VAT paid for goods that you purchased for the company, I.E. a laptop?

[Gonzo]

So when your on this VAT scheme is there such a thing as reclaiming the VAT paid for goods that you purchased for the company, I.E. a laptop?

Yes, if it is an expensive one, i.e. a single item > £2000.

The idea of the scheme is to simplify the whole VAT thing so you don't have to account individually all the VAT paid against the VAT charged to work out the total. Actually not a bad idea from HMRC and an easy decision for most of us (I was about to type "no-brainer" but thought better of it).

[VectraMan]

Remember the expenses. Stay in hotels, or do a lot of mileage and you could be worse off. The reason I haven't been in a rush to join is because with the mileage I do I'm only going to be about £20 per month better off under FRS.

[Gonzo]

Remember the expenses.

Good point. I choose to live in a location that is easily commutable to where most of my contracts are going to be (and I can't expense travel anymore ) so myCo's expenditure is minimal, but I appreciate that that is not the case for everyone.