Hi all
I have a VAT question that I need to clarify and I believe that my accountant (due to be replaced) is wrong.
I work through my own ltd company and am VAT registered under the Flat Rate Scheme. It is my understanding that I bill my clients 17.5% and then give HMRC 13% of the gross invoice. This is what I have read on CUK and on the HMRC website.
I double checked my accountants figures for my latest VAT return, and thought that it was a bit low. Upon doing the calculation myself, I queried it with my accountant. They said that I only need to pay 11% of my gross invoice.
Before I get back to my accountant who I pay £stupid per month, I would like to know, am I being a numpty? I am about to get a new accountant and want to know my exact position and therefore will get them to recheck my books for my whole trading history. What happens if I find I have been underpaying VAT? As a director, I am legally responsible for my returns. Do I have any recourse if my current accountant has made mistakes on my VAT returns?
I have a VAT question that I need to clarify and I believe that my accountant (due to be replaced) is wrong.
I work through my own ltd company and am VAT registered under the Flat Rate Scheme. It is my understanding that I bill my clients 17.5% and then give HMRC 13% of the gross invoice. This is what I have read on CUK and on the HMRC website.
I double checked my accountants figures for my latest VAT return, and thought that it was a bit low. Upon doing the calculation myself, I queried it with my accountant. They said that I only need to pay 11% of my gross invoice.
Before I get back to my accountant who I pay £stupid per month, I would like to know, am I being a numpty? I am about to get a new accountant and want to know my exact position and therefore will get them to recheck my books for my whole trading history. What happens if I find I have been underpaying VAT? As a director, I am legally responsible for my returns. Do I have any recourse if my current accountant has made mistakes on my VAT returns?
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