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FRS Scheme questions

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    FRS Scheme questions

    My accountant applied a FRS Scheme about 4 months ago. I was told that it usually takes 12 weeks for HMRC to process an application. At the end of March, I received a letter and VAT certificate from HMRC.

    My accountant issued a backdated invoice including services prior to the effective date. So, the agency is refusing to make a payment and has requested for an amended invoice. Effective date on my VAT certificate is 8-9 days after my contracting started.

    Which one is correct, agency or accountant?

    #2
    According to this, you charge VAT from the date you asked for on the application form and not before.

    So if your accountant asked for a VAT registration date after you started supplying services, I'd say he was wrong to issue a VAT invoice before that date.

    Others will probably be along shortly either saying I'm wrong or telling you to ask your accountant.

    Comment


      #3
      Originally posted by ctdctd View Post
      According to this, you charge VAT from the date you asked for on the application form and not before.

      So if your accountant asked for a VAT registration date after you started supplying services, I'd say he was wrong to issue a VAT invoice before that date.

      Others will probably be along shortly either saying I'm wrong or telling you to ask your accountant.
      The first invoice was issued on the effective date including dates in the previous week. I am confused now. The effective date works on when the invoice was issued or is the day i start charging VAT amount? (If the latter, My first invoice will have no VAT amount and second invoice will have some days with no VAT)
      Last edited by BlueM00n; 21 April 2013, 17:38.

      Comment


        #4
        Originally posted by BlueM00n View Post
        The first invoice was issued on the effective date including dates in the previous week. I am confused now. The effective date works on when the invoice was issued or is the day i start charging VAT amount? (If the latter, My first invoice will have no VAT amount and second invoice will have some days with no VAT)
        I think it matters only when the invoice is issued, aka. the tax point, and not when the work was done.

        So it depends what you mean by your accountant issuing a "backdated" invoice.

        My bet is on your accountant being correct and the agency being confused.

        Comment


          #5
          Originally posted by Contreras View Post
          I think it matters only when the invoice is issued, aka. the tax point, and not when the work was done.

          So it depends what you mean by your accountant issuing a "backdated" invoice.

          My bet is on your accountant being correct and the agency being confused.
          VAT only invoice

          Comment


            #6
            Originally posted by BlueM00n View Post
            VAT only invoice
            Oh well, good thing it wasn't a real bet.

            Comment

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