Accountant stated my PC Purchase cannot have VAT reimbursed on Flat Rate VAT scheme..

[Clare@InTouch]

thanks for the advice.

Just read this

Capital assets - the Capital Goods Scheme for reclaiming VAT

Computers
The scheme only applies to individual computers, or items of computer equipment, that cost £50,000 (excluding VAT) or more. It doesn't cover something like a network where the total cost of the server and all the computers and printers is £50,000 or more but each individual item is less than £50,000. Nor does it cover computerised equipment (for example, a computerised telephone exchange or computer-controlled blast furnace) or computer software.
You can find out more about the way the scheme applies to computers and computer equipment at section 3.5 of Notice 706/2 Capital Goods Scheme.

Why the sad face? It doesn't apply

You can't reclaim if you fall under the capital goods scheme, but to do you'd have to be spending £50k or more.

[Scrag Meister]

I purchased a new business desktop back in September and claimed the VAT back on it. No questions from my accountant about its validity.

[Danielsjdaccountancy]

You should be able to claim the VAT back on this. Any capital asset which is £2K inclusive of VAT can be reclaimed, please see below

HM Revenue & Customs: Flat Rate Scheme for VAT

Go to - Claiming back VAT on capital assets

It’s all there!

[prozak]

Claim It!

What sort of puters are you kids buying that cost that much?

An over-specced laptop for me would still come in under 1k.

I just bought a second laptop from Dell Outlet for £300. It has more than enough grunt.

[d000hg]

I purchased a new business desktop back in September and claimed the VAT back on it. No questions from my accountant about its validity.

That doesn't mean it's OK, they just might not have noticed. (obviously in this case it IS ok)

[IR35 Avoider]

Surely the most important detail has been omitted here? What is the specification of a Windows 7 PC that costs £2800 in December 2011?

If I were looking to buy a Windows 7 PC, I think I would be spending about £200 for a nettop or maybe up to £400 if I needed something more powerful. (Would recycle existing monitor.)

[northernladuk]

Surely the most important detail has been omitted here? What is the specification of a Windows 7 PC that costs £2800 in December 2011?

If I were looking to buy a Windows 7 PC, I think I would be spending about £200 for a nettop or maybe up to £400 if I needed something more powerful. (Would recycle existing monitor.)

From what I read that is just he PC and he spent another 2500 for monitors

Also I have a completely different invoice with two large monitors which cost around £2400 gross with monitor speakers, you reckon I could claim for this invoice also ? Its to be used with the PC I bought ????

If it was anyone else I would believe them but this is sbakoola so I don't.

[IR35 Avoider]

I think I understand now.

He has bought two 50 to 60 inch flat-screen TV's, which he claims are just for use as monitors with his £400 PC, and is wondering why his accountant is skeptical about claiming for them.

Reminds me of the famous tax fraud case, the farmer with a water storage facility that, when HMRC came to inspect it, turned out to be a swimming pool.

[malvolio]

Surely the most important detail has been omitted here? What is the specification of a Windows 7 PC that costs £2800 in December 2011?

If I were looking to buy a Windows 7 PC, I think I would be spending about £200 for a nettop or maybe up to £400 if I needed something more powerful. (Would recycle existing monitor.)

Have to agree. I recently upgraded/replaced to a 3.2GHz 4Gb RAM 1Tb drive Win7 Pro box plus 2Tb NAS, network Switch and full function router for rather less than £900. Sat next to it is my work laptop, plus docking station and the usual peripherals: that cost £650 two years ago.

Then again, they aren''t Macs or Vaios, or capable of instantaneously rendering 3D gaming graphics, just working PCs.

[SueEllen]

Would calling up the VAT helpline actually do me any good ? are they going to be any more clued up about PCs etc as Capital Assets ?

They know their stuff.

However if the relationship between you and your accountant has broken down due you trying to pull the wool over his eyes then you need to change accountants.