VAT Determination

[Yuri F]

Hello,
I've a strange case with one of possible contracts. therefore running some sanity checks/due-diligence.

let's say:
1) I'm contractor with MyContract-%^&-LTD - which is UK-registered (incl. VAT)
2) Agent is say CambridgeInc455 - Denmark-registered.
3) End-client...

[Contreras]

Hi,

In VAT parlance "Digital Services" is a wide category, so this is about renting a server (VPS), say for web-hosting, mail, or off-site data backup, from a company based outside the UK, be that EU, US, or elsewhere.

Must an overseas hosting company be UK VAT registered...

[IngloriousContractor]

I was contacted by HMRC for VAT compliance check even though I have an appointed representative who is my accountant.
They asked to see 4 years of paperwork. I directed them to my accountant. My accountant provided to them what they asked for.
I am a few weeks into this compliance check...

[binflo1]

Newie here. I am hoping for some tips and guidance.

I have set myself up as (UK based) sole trader providing consultancy services for a company (VAT registered) in Italy. My interactions were with the UK based team, but the head office is based in Italy and they will pay me. I have now...

[radium0022]

Hi all,

This is my first post on this forum so I just wanted to take the chance to thank you all for the information shared so far!

I have been contracting for some time already - last project in date was a nine month contract as a data scientist with a famous social...

[80211]

Hello all,

Just have a quick question regarding VAT and CT claim for a limited company.

I want to purchase a PC say for £1,000.

I am struggling to understand whether it is better to buy a PC and then register for VAT FRS and reclaim the VAT for this pc...

[Arnouxor]

Hello,

I'm a developer, I have a UK LTD company and I work exclusively remotely from home.
Since this month, I've been working with two companies: the first one is based in Ireland and the second one in Switzerland.
My turnover is lesser than 85000£ but I had to register...

[Ianwoord]

Just wondering if anyone knows anything about the construction industry VAT changes that are due to happen on the 01st October? Just wondering whether my work as a drainage contractor could be affected by it? From reading up on it I think there is a possibility it could but not quite sure how to prepare...

[kuba]

Hello!

I have a question. We're a VAT-registered business in the UK.
We have a business trip coming to Japan. We want to buy electronics intended for business use (mainly digital cameras) there. They are much cheaper in Japan.
We would be bringing them in personal luggage....

[eddie1979]

Hi. I posted this in a specific thread on Gibraltar but frankly, it's probably wider.

So I'm totally new to running my own business and VAT and wanting to learn more about this (from an educational point of view). I've worked in SEO for a long time (as a self-employed person) but making...

[skay]

Hi, Crunch (accounting) have applied for my VAT registration for my newly created company but there was a mistake and hence HMRC requires more evidence/documents for the verification process. I have all of those and have already provided them to Crunch which in turn will update my application. Based...

[ciaozio]

Hi everyone,

I am working as an IT contractor for a client that provides me with IT equipment (it's a financial institution, therefore security is paramount).

I would like to buy a new laptop, expense and reclaim VAT on it.

This laptop will be used mostly...

[Ricardo19ip]

Hello,

My agency says it needs my VAT certificate, is that normal, is that legal, why do they want that?
I already gave them my VAT number.

My accountant (CRUNCH) sent me the number and told me I will receive a letter with that certificate, but still nothing about...

[nicoatridge]

If I work for a client in the EU, but am based in the UK and do not need to pay VAT since my company's income was below the threshold, do I still need to have a VAT number?

[portal85]

Hey everyone...

I am quite confused! When my UK company receives an invoice from a company in Gibraltar,
which provides consultancy and marketing services, I am required to pay/account for UK VAT?
It is my understanding that although Gibraltar is in the EU, it is outside...

[jobuck]

Hello all, I have just registered for vat back in march /april ( registering for the 'standard' scheme) and am just about to submit my vat return tomorrow for the 1st quarter but have looked at the figures and it looks as if i would be much better off using the flat rate scheme and make savings of about...

[gaumzi]

I am an IT contractor on 14.5% VAT FRS. I do not fall under limited cost business. So to avoid paying 2% extra tax to HMRC, what are my options except spending that 2% on stationary every quarter?

[metageek]

I'm disputing an annual invoice for software maintenance - it's the first one I've received, and I reckon they've overcharged me, so I disputed it.

The annual charge for Support is 22% of the purchase cost of the software, and here's how they work it out:
1. Add VAT to the Purchase...

[Noddy53]

Have successfully been offered my first ever contract (after 26 years in perm employment before being made redundant) with HPE and received my contract today and realised that the recruitment agency used is based in Germany.

The contract states that I will be invoicing the recruitment...

[openshac]

I started a contract last month with a new agency. Before starting I opted out of the Self Billing arrangment as allowed and clearly stated in the contract. They confirmed that I had been withdrawn.

I invoiced them at the end of the month but a few days later have received a document...

[choci]

Morning all, please be gentle.. I'm very embarrassed at my naivety..

I just wanted to see where I stand on this matter if anyone could give me some advice..

Long story short, I was always an Umbrella company contractor, mainly as I did not understand the whole process fully.....

[Rodz]

Hi I am doing some work for a company and they have asked me could I send a separate invoice for the VAT a month later. My Ltd company is VAT registered, does anybody know why this would be and if it is even legal?

Thanks

[ajheywood]

Hi all,

I'm looking for some advice, I've been on a self-billing contract for a while and not been keeping a close eye on my company turnover and I think now that I have gone over the VAT threshold sometime in Jan/Feb 2016. I'm looking at the HMRC website to register for VAT and it is...

[ghuznee]

I'm trying to get the right classification for my flat rate VAT application. I am a product manager by trade but cant find a suitable classification.

Are there any Product Managers / Product Owners here that can tell me which bracket they go for?

I had a look at the HMRC...

[LindsayRuddock]

As a contractor, I understand I must invoice my client for mileage at 45p per mile plus 20% VAT. This is normal practice.
What puzzles me and which I can not find any answer or discussion on is that there is a rule which states that VAT should not be charged on VAT. Yet, the 45p per mile includes...

[happyuk]

Hi would appreciate some advice on the following matter which is creating a fair amount of stress.

For the past 2 x years I had been contracting using an umbrella company (Parasol). Because of the 24-month rule I considered the possibility of setting up my own Limited Company, and actually...

[iladarsda]

Hello,

I am an IT contractor, working for an agency with 21 days payment delay, where payment date is the same as invoice date they are raising on my behalf.

Just registered for the VAT with a start/effective date of 10/01/2015.

I've asked my agency to back...

[Syntyrion]

MyCo is VAT registered in the UK. My understanding is that if MyCo did work (provide a service) for a business client in, say, Belgium, then VAT would arise for MyCo in Belgium rather than UK. Not sure if this is right?

Gibraltar does not have VAT. Adding VAT at 20% would make my services...

[ramesh]

Hi,

I am working as a consultant in networking. My job responsibilities are network consulting, network security, pre/post-sales in networking and troubleshooting. Does networking fall under IT consultancy?. Or is it under telecom?. Telecom is currently charged at 12%, IT consultancy...

[data]

Hi all,

This is my first post so please be nice!
This might be an unusual question for this forum.
I work in India and would like to invoice a client in the UK. Would a normal UK invoice template (with amount in sterling and VAT) suffice or do I need to send the invoice...

[clearbrian]

Hi
I got the call today for VAT inspection.
My accountant is compiling info but won't be there when HMRC visit.
I was just wondering what to expect.
How far back they query?
I've never had a VAT inspection before and been contracting since 2006.
I took a year...

[dcook]

I am running a Hong Kong Ltd company, and recently became aware of EU VAT changes, which seemed surprising (asking a company in one country to collect tax on behalf of another country). I am additionally confused as some places talk about the law changing in 2010, others it changing in 2015, but the...

[gaumzi]

I am registered for flat rate VAT scheme and i have just purchased a pc monitor from pixmania-pro website (paid from my company a/c). They didn't charge me VAT as i have opened an account with them and provided them with my VAT reg. no.

Now when i file my VAT return for this quarter,...

[The Spartan]

Amazon to be stripped of tax advantage on sale of ebooks | Technology | The Guardian

It's about time something like this happened

[jubilee]

Hi, i'm about to register for the flat Vat scheme, What call do IT contractors fall into , im guessing its Computer and IT consultancy or data processing?

[Traveller1]

Hi all,

I have a question regarding contracting in the UK and be based in HongKong.

I am a Dutch resident at the moment, but there is always a time for leaving.
So I am "signing" out of the The Netherlands, therefore I am not liable to pay any Dutch taxes...

[GlasgowBob]

Hi All,

Just been told by my agency that the client requires me to be VAT registered. I've never had this before, income over last couple of years has been below the threshold and I expect it to be next year.

Anyone know why the client would need this?

...

[binladensgoat]

Has anyone who contracts via an Umbrella company claimed (successfully) for tax back for computer equipment (I have bought a laptop and a backup server) and a Technet subscription while being 'employed' by an Umbrella Company? I know self employed people can do this if they own their business, but I...

[Britind]

I am planning to start an IT contracting career and have a few questions about VAT. I went through a lot of threads here but couldn't find answers. Thanks in advance for your replies.

1. If I register for VAT as a Limited company, do I have to bill my clients for VAT even if my turnover...

[Carl Sberg]

In the past, the VAT threshold mandated my Ltd Co. to be VAT registered. These days I'm well under that and purchases that are "wholly and exclusively" for the Co. are also low. Consequently, I'm wondering whether it's worth the bother of staying VAT registered. Paperwork aside, the key...

[Carl Sberg]

Evening all. HMRC have honoured Ltd Co. with a "VAT repayment supplement" of £50 because they were late repaying some VAT. This isn't interest and isn't subject to corporation tax. However, I'm having trouble with how it's best represented on the annual accounts. Has anyone dealt with...

[tolland123]

If for some reason we had failed to account for Input VAT on some purchases in a previous quarter, and these came to light now. How should I proceed to record those values in order to reclaim the VAT?

1. Should I add the unclaimed amounts to the current quarter return?

...

[franksmith]

Hi,

I have just applied to become VAT registered, but R&C have written to me asking additional questions which I am a little confused about.

They've asked some basic information which is fine, but also given me a questionnaire to answer about additional workers in my...

[prozak]

Just reading up on the flat rate scheme for VAT.

I am currently registered for VAT, have been since 2009.

My turnover should be below 150k next year, all of it next year should be IT contract based.

I currently "invoice" an agency that uses self-billing.......

[piede828]

Hi, I am an Italian iPhone dev and I've just moved to London. I am keeping my job as a consultant with an Italian company. Since I will be in London most of the time, it looks like I have to register as self employed. I was thinking if registering just as self-employed is the best option or if I should...

[WhenItRains]

Greetings all,

Apologies if this has been covered elsewhere but I've looked through quite a few posts and couldn't find it. The limited company that I am working for is supplying my programming services to a US company. The main question I have is around VAT. What I've read suggests that...

[MarillionFan]

Rightio, just doing the VAT & accounts on my new retail business and as I thought, yes it's fooked.

Looks like i've pissed 20k up the wall on this investment, and having bailed it for the last quarter, not enough moolah to pay the VAT this quarter. Deffo not going to be able to pay...

[SuperZ]

I signed up for the online VAT processing and used the direct debit option to keep it simple, to ensure I don't miss any payments. Today I checked my account balances and they've not drawn the amount I owe for the VAT period ending 28/02. I checked with my bank and yes the direct debit has been setup....

[ChimpMaster]

Has anyone here been on the FRS but then ended up breaching the annual turnover limit of £150k?

I believed you would have to drop out of the scheme but according to HMRC's website (extract below) you can remain in it until your turnover reaches £225k.

Also awaiting...