MVL - VAT Reclaim

[Maslins]

Is there really any risk of going cheaper? The OP either gets an MVL from the uk number 1 mvl provider or a top 5 national ip firm. I suspect he'll be in good hands either way! Of course your accountant may not get a fee from the ip this way...

Indeed there shouldn't be any risk. For clarity, I'm not talking about risk your cash will disappear due to a dodgy MVL provider, just risk of additional aggro.

We have seen some accountants throw their toys out of the pram and try to charge additional closing fees when their client chose not to go with the recommended IP firm. Cynics would say it's because then the accountant won't get the hefty kickback (which are illegal for IPs to pay anyway...but that's a story for another day). The accountant will argue that the good relationship means they know what their preferred IP needs, format etc, whereas the assumption is another firm (ie us) will be really difficult and cause lots of extra work for the accountant (we don't).

I'm sure NW wouldn't look to do that. Indeed a few of MVLO's clients to date have been ex NW clients (whether that was before them having their own linked IP, or after for a modest fee saving I don't know).

[Scratch It]

I would agree but again mvlo and wf are surely trustworthy providers, not 'man and dog ltd' where the op needs to be concerned with trust. They'll have well over a hundred staff between them I'm sure. Care to discuss reciprocal work between accountants and ip practices and the conflict of interest this can provide?

[Martin at NixonWilliams]

We have seen some accountants throw their toys out of the pram and try to charge additional closing fees when their client chose not to go with the recommended IP firm. Cynics would say it's because then the accountant won't get the hefty kickback (which are illegal for IPs to pay anyway...but that's a story for another day). The accountant will argue that the good relationship means they know what their preferred IP needs, format etc, whereas the assumption is another firm (ie us) will be really difficult and cause lots of extra work for the accountant (we don't).

I'm sure NW wouldn't look to do that. Indeed a few of MVLO's clients to date have been ex NW clients (whether that was before them having their own linked IP, or after for a modest fee saving I don't know).

That's certainly not our style, we let our clients know we have a recommended provider if they want it, but it is their choice from the outset.

& either way, our fee is the same

[ChimpMaster]

For what it's worth I can highly recommend MVL Online. It's clear, easy, mostly all online (except for the solicitor's witness signatures you need to post) and hassle free. My accountant was only involved for some very basic questions I had.

The liquidation itself does take a few months, but that's only because you have to go through the motions, and of course anything involving HMRC will take a while... but again MVL Online do chase them and are quick to answer any queries even when I just simply asking for an update.

They are cheaper than others but the reason I chose to go with them is due to trusting them with the company money and of course previous recommendations here.

Feel free to PM me for more details.

[Crossroads]

Whether it can be reclaimed or not is another matter, along with whether doing so is worthwhile. A lot of our clients being (ex) contractors are on the flat rate scheme. It also adds an additional hassle and delay, for what's typically ~£250.

VAT 427 looks pretty straightforward, so how much hassle / delay does it add? Obviously a significant delay would make it pointless as the amount saved would be lost in interest assuming the form has to be processed before the initial distribution?

VAT 427 seems to refer to taxable "persons" though, rather than a Ltd Company?

[Craig at Nixon Williams]

VAT 427 looks pretty straightforward, so how much hassle / delay does it add? Obviously a significant delay would make it pointless as the amount saved would be lost in interest assuming the form has to be processed before the initial distribution?

VAT 427 seems to refer to taxable "persons" though, rather than a Ltd Company?

The refund from HMRC doesn't need to be received before they make the distribution. You will receive the majority of the distribution early on and then the VAT refund will be passed on to you once it has been received by the liquidator.

A Limited company is a taxable person so that is the correct form.

[Maslins]

VAT 427 looks pretty straightforward, so how much hassle / delay does it add? Obviously a significant delay would make it pointless as the amount saved would be lost in interest assuming the form has to be processed before the initial distribution?

VAT 427 seems to refer to taxable "persons" though, rather than a Ltd Company?

I don't think "persons" is relevant, ie companies can get it too.

Our entire offering is built around offering as quick and efficient service for the client as we can, whilst ticking all the legal boxes required for a formal liquidation, at an affordable fee. Many of our testimonials compliment us on how hassle free the whole process was.

Reclaiming VAT is something my business partner and I discussed at length before launching MVLO. We decided (others obviously decided differently) there were enough reasons why it would be a pain for all concerned, that for the sake of ~£250/case it wasn't worthwhile.

As said before, if a potential client's particularly bothered about reclaiming VAT whilst still using us, they can approach us to invoice them early.