VAT FlatRate payment calculation

[backlight]

Another question in relation to VAT but a bit off topic.

I am about to submit my first invoice under my limited company, but I have not received my VAT registration as of yet. My plan was to invoice without VAT until I received my VAT registration number, then send a credit note to the client for all past invoices raised without VAT, and then re-invoice everything with VAT.

Any reason why this will not work?

[TheFaQQer]

Another question in relation to VAT but a bit off topic.

I am about to submit my first invoice under my limited company, but I have not received my VAT registration as of yet. My plan was to invoice without VAT until I received my VAT registration number, then send a credit note to the client for all past invoices raised without VAT, and then re-invoice everything with VAT.

Any reason why this will not work?

Invoice with "VAT Number Pending" on your current invoice. When the number comes through, invoice for the rest. No need to have a credit note or anything like that. But make sure you put the "VAT number pending" on the original invoices.

[backlight]

So lets say invoice 1 sub total was £100 but I did not have a VAT number - simply put "VAT Number Pending" on the invoice and charge £100 total.

VAT number arrives before I submit invoice 2 which also has a sub total of £100. The total for invoice 2 would be £135.00 (with reference to invoice 1 of course).

Just want to make sure I'm clear - thanks!

[mashetti]

So lets say invoice 1 sub total was £100 but I did not have a VAT number - simply put "VAT Number Pending" on the invoice and charge £100 total.

VAT number arrives before I submit invoice 2 which also has a sub total of £100. The total for invoice 2 would be £135.00 (with reference to invoice 1 of course).

Just want to make sure I'm clear - thanks!

I did a similar thing when I first started, just put VAT Number pending on the Invoice. When I finally got my VAT no. the place I was at wanted a credit of the original invoice and then a new invoice with VAT included. So invoice 1 was £100 VAT pending, then Invoice 2 was £100 credit of Invoice 1, then Invoice 3 was £117.50 (including VAT). So nett is that the Client payed me £17.50. I have heard of people just sending in an Invoice on it's own for the £17.50 but I guess it depends on the Client.

[r0bly0ns]

So lets say invoice 1 sub total was £100 but I did not have a VAT number - simply put "VAT Number Pending" on the invoice and charge £100 total.

VAT number arrives before I submit invoice 2 which also has a sub total of £100. The total for invoice 2 would be £135.00 (with reference to invoice 1 of course).

Just want to make sure I'm clear - thanks!

I would send the invoice for VAT seperately.

I.e.
Invoice 1 - £100 Vat No Pending
Invoice 2 - £117.50 Inc Vat No
Invoice 3 - £17.50 clearly marked as VAT for invoice 1, attach a copy of your VAT reg certificate.

This makes it easier for you and the client to trace what the payments were for in the future.

[scooterscot]

Golden rule - do not be late with VAT payments. The Vatman is much more friendly than Hector, but has very sharp teeth. Do not mess with him.

but what if the VAT man has never contacted you by mail or phone since registering?

[David Parker ACMA]

1. you can only change vat scheme on the commencement of a vat quarter
2. you are responsible for your VAT, the VAT man will not accept that he hasn't taken the time to contact you.
3. Don't raise any invoices (or credit notes) with VAT on them until you have received confirmation of registration as it is illegal.

send me a personal email if you want to discuss further.

[css_jay99]

Hi again,

VAT for 3 months (up to Nov) is now due.

Damn new contract means I get paid monthly . This means that I would not be raising an invoice till next week for NOV work.

Is it safe to assume that VAT return is only based on invoices raised within the VAT return period (hence exluding my unraised invoice for NOV) ?


cheers

css_jay99

[KevinS]

VAT is only due on invoices PAID in the 3 month period, AFAIK..

[Sockpuppet]

Vat due is based on the date the invoice is raised. So all invoices raised in that period are to be included

Unless you are the cash accounting scheme then you pay vat on this date not the date you receive the cash. So you could in theory bill for £100,000 of work, get paid nothing then owe a lot out in vat before you get paid for any of it.