Contractor expense claim

[malvolio]

Why? I have been a total of 8 weeks outside the EU (Thailand, USA, Venezuela) for work and if I do not add VAT I would have been out of pocket, I do not get this. My accountant views are different.

Invoice goes with 1 item for a total of x expenses, then 20% VAT on top as from that I am paying back 14.5% VAT (FRS).

Regards

That's the point. People are confusing expenss, VAT and cost of doing business. You charge to the client is to recover your time spent (whic includes your profit margin) and your expenses incurred. Whether or not the expenses contain VAT is irrelevant, you charge them at cost. And since you are invoiing a UK client in the UK, you have to add VAT at the prevailing rate to the gross invoice value.

[Segush]

That's the point. People are confusing expenss, VAT and cost of doing business. You charge to the client is to recover your time spent (whic includes your profit margin) and your expenses incurred. Whether or not the expenses contain VAT is irrelevant, you charge them at cost. And since you are invoiing a UK client in the UK, you have to add VAT at the prevailing rate to the gross invoice value.

That makes sense, glad I am not doing it all wrong!!!!

Thanks

[dynamicsaxcontractor]

I just put one line on my invoices for expenses and on that line I put the amount I have spent on expenses. Then on the total of the invoice I have to add VAT. What I put on the expense line might or might not include what I paid in VAT and might or might not include the amount on the receipt (sometime for example I upgrade a train ticket and foot the bill for the upgrade myself).

Remember, you are not an employee so expenses are a service you have provided - not an expense claim.....