VAT payment

[poser]

I recieved my VAT number yesterday, and have spoken to an agency I previously worked for, ingorming them that i will be invoicing them for VAT only.

They replied:

"in regards to your VAT invoice we will be paying it when it is suitable to our cashflow needs. This is because we have no legal requirement to pay it as you have already invoiced us for the hours worked without VAT"

Where do I stand with this, as I'd like to collect the money stick it in a high interset account and forget about it till I need to give it to Hector.

Are they in their right to do this?

Anyone got any advice?

Thanks for your help in advance.

[Bear]

Depends when the start date of your VAT registration is - if it is backdated then any work done from that date will be liable for VAT.

If the work you did for this agency falls into that period then you can invoice them and they will need to pay.

[vhadiant]

Rubbish. What did you put on your previous invoice? It should have said VAT pending if you follow the templates correctly. Regardless they are committing tax fraud if they don't pay you.

[poser]

it said VAT number pending on my invoice

[DaveB]

it said VAT number pending on my invoice

In which case you should be able to invoice them seperately for the VAT and not have them make excuses.

Send them another invoice making it clear it is for outstanding VAT and that non-payment will result in you reporting them to HMRC for non-payment of VAT.

[MrRobin]

There seems to be a plethora of posts about agents not wanting to pay VAT at the mo... what the flip is going on???!

[poser]

my bad guys didnt see other thread on this, thanks for help anyway

[Archangel]

Vat poser

The agecy can just deduct the VAT from their next VAT payment, so its income neutral for them, I don't understand what their problem is.

Sick the Vat man on them, they won't like that!