VAT investigation - Help!! CONFUSED

[northernladuk]

As long as only people who have actually experienced the problem post rather than those who think they know it all. I bet you know who I am thinking of.

From someone who puts so little in to the forum you do a lot of moaning. It's a free and open forum, people say useful stuff, people make mistakes... oh yeah and there are those that do f all but moan of course.

You don't like my posts, I get that, I make the odd mistake that you like to fly like a flag, I can kinda get that. To ignore that the fact that inbetween all the crap I post sometimes it is useful, even if it is a link to a search just makes you look like an idiot.

... all from the guy that couldn't even put a post in the right forum today as well....

We have an ignore button, use it if it bothers you that much.

[Wanderer]

a, will the vat man come knocking again?
b, will I have to go through the same palava again? 6 HOURS LAST TIME!!!

You started up a business and then claimed £22k in VAT back on your first return. Can you honestly not understand why HMRC would want to investigate that?

As you have done nothing wrong, there is nothing to be afraid of. Be careful with this amount of money though, if you make a mistake then it could be very costly. You have come to the correct conclusion though - you will have to delegate things so engage an accountant and/or book keeper to deal with this stuff so you can get on with running your business!

Good luck!

[Alan @ BroomeAffinity]

NLUK always makes some valid points. Maybe "ask your accountant" or "do a search" is a bit curt but its often what people need to be told. The easy thing is to ask for info on a forum - the hard thing is to run a business. In the long run, you need to know this stuff.

[namsey]

Thanks for all the helpful info and 'other' comment.

I've spoken to a recommended accountant and I am going to see him next week to sort this mess out. I think I'll leave everything to them as it's a bit too much for me.

Just one more question, will HMRC contact the supplier of the machines & finance company? If they do, it's all straight forward and I don't have to worry about anything as they can explain this mess to HMRC direct.

I didn't think to ask for a Vat invoice, Duh!!!! The accountant said as long as I have a Vat invoice I'm fine along with all the bank statement showing the direct transfer. The finance company were a bit reluctant to email/post me the Vat invoice, they said the finance agreement shows everything and that should be sufficient. If I need a Vat invoice, I have to put it in writing???? I told her I need both invoices, one for the last lot and one for now, they don't want to give it to me????? I wonder why???? Any comments or thoughts on this would be helpful

Hmm, being such a big asset finance company, you would think, they would happy to give me a Vat invoice as I have paid the VAT??

[SueEllen]

I told her I need both invoices, one for the last lot and one for now, they don't want to give it to me????? I wonder why???? Any comments or thoughts on this would be helpful

Hmm, being such a big asset finance company, you would think, they would happy to give me a Vat invoice as I have paid the VAT??

Send them a letter preferably by recorded signed for delivery asking for the VAT invoices.

And keep a copy of everything including the receipt in your files.

The reason they don't want to give you the invoice is because it's more paperwork hassle for them so formally ask for it.

[Wanderer]

The finance company were a bit reluctant to email/post me the Vat invoice, they said the finance agreement shows everything and that should be sufficient.

No it's not sufficient.

According to HMRC, "If you are registered for VAT, then whenever you supply goods or services to someone else who is also registered for VAT you must give them a VAT invoice."

Tell them to stop messing you around..

[namsey]

I called them today and again I got the same answer, we can use the finance agreement as that shows the vat, we don't need a Vat invoice. I was told that HMRC can contact them if they need to and they will confirm both agreements and explain.

I'm going to write to them and request it in writing.

This is one of the biggest finance companies in the UK and they were passed my details by my bank when I went to open the bank account, and they're being a pain.

[Wanderer]

I called them today and again I got the same answer, we can use the finance agreement as that shows the vat, we don't need a Vat invoice. I was told that HMRC can contact them if they need to and they will confirm both agreements and explain.

Read that link I gave you. It may be that the finance agreement constitutes a VAT invoice, read it and see if it has all the required details?

If you don't have a VAT invoice then you can't claim the VAT back so get it right especially as there is a lot of cash at stake here.

[Alan @ BroomeAffinity]

Did you buy the asset from the finance company? Often, the VAT invoice needs to come from the supplier of the goods. Might be worth talking to them.

[SarahL2012]

I called them today and again I got the same answer, we can use the finance agreement as that shows the vat, we don't need a Vat invoice. I was told that HMRC can contact them if they need to and they will confirm both agreements and explain.

Is there a page somewhere in the finance agreement that has all of the numbers on it? If it shows a breakdown of the costs and the VAT, together with the Finance companies VAT number (which could be elsewhere in the document) then that should suffice.