UK diy (uk.d-i-y) For the discussion of all topics related to diy (do-it-yourself) in the UK. All levels of experience and proficency are welcome to join in to ask questions or offer solutions.

Reply
 
LinkBack Thread Tools Search this Thread Display Modes
  #1   Report Post  
Posted to uk.d-i-y
gb gb is offline
external usenet poster
 
Posts: 3
Default VAT problem - any advice please ??

Last week I ordered some double glazing units £2060 inc VAT.

So what should I pay when I go pick them up next week ???

The price quoted, even thou it does say inc VAT, or at the new VAT
rate.
  #2   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 3,861
Default VAT problem - any advice please ??

In message , gb
writes
Last week I ordered some double glazing units £2060 inc VAT.

So what should I pay when I go pick them up next week ???

The price quoted, even thou it does say inc VAT, or at the new VAT
rate.


It will be the VAT rate in force at the time that the invoice is
generated IWHT

There is no reason for them to charge you 17.5 rather than 15% that I
can think of - its not their money, so it should make no difference to
them

You should get that small discount which will enable you to kickstart
the economy single handedly

--
geoff
  #3   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 8,319
Default VAT problem - any advice please ??

gb wrote:
Last week I ordered some double glazing units £2060 inc VAT.

So what should I pay when I go pick them up next week ???

The price quoted, even thou it does say inc VAT, or at the new VAT
rate.


The new rate of 15%. The Govmint sets the VAT rate, the supplier meerly
acts as an unpaid tax collector. £2060 - 14.89% + 15%.

£1753.27 + 15% VAT = £2016.26 inc

The £43 saving should be spent on beer - its the law.


--
Dave - The Medway Handyman
www.medwayhandyman.co.uk




  #4   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 215
Default VAT problem - any advice please ??

gb wrote:

Last week I ordered some double glazing units £2060 inc VAT.

So what should I pay when I go pick them up next week ???

The price quoted, even thou it does say inc VAT, or at the new VAT
rate.


Depends on the "Tax Point" which can happen when they're
delivered/collected or earlier if they've already issued an invoice, or
you've paid a deposit.

Given that the price has been quoted inc VAT then there's no reason that
the supplier *has* to reduce the ex VAT price, but worth £43 to ask if
they can/will keep the net price the same and charge VAT at 15%.



  #5   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 269
Default VAT problem - any advice please ??

"Andy Burns" wrote in message
et...
gb wrote:

Last week I ordered some double glazing units £2060 inc VAT.

So what should I pay when I go pick them up next week ???

The price quoted, even thou it does say inc VAT, or at the new VAT
rate.


Depends on the "Tax Point" which can happen when they're
delivered/collected or earlier if they've already issued an invoice, or
you've paid a deposit.

Given that the price has been quoted inc VAT then there's no reason that
the supplier *has* to reduce the ex VAT price, but worth £43 to ask if
they can/will keep the net price the same and charge VAT at 15%.





Also, you need to consider whether they have already incurred expense at the
old VAT rate which they need to pass on.

--
Ron



  #6   Report Post  
Posted to uk.d-i-y
Rod Rod is offline
external usenet poster
 
Posts: 2,892
Default VAT problem - any advice please ??

Ron Lowe wrote:
"Andy Burns" wrote in message
et...
gb wrote:

Last week I ordered some double glazing units £2060 inc VAT.

So what should I pay when I go pick them up next week ???

The price quoted, even thou it does say inc VAT, or at the new VAT
rate.


Depends on the "Tax Point" which can happen when they're
delivered/collected or earlier if they've already issued an invoice,
or you've paid a deposit.

Given that the price has been quoted inc VAT then there's no reason
that the supplier *has* to reduce the ex VAT price, but worth £43 to
ask if they can/will keep the net price the same and charge VAT at 15%.





Also, you need to consider whether they have already incurred expense at
the old VAT rate which they need to pass on.

Why?

The tax point of the invoice is, IIRC, the only thing that matters.
Gievn a substantial proportion of the input to the product is likely
labour, so there would usually be plenty of VAT income to cover that
already paid out.

--
Rod

Hypothyroidism is a seriously debilitating condition with an insidious
onset.
Although common it frequently goes undiagnosed.
www.thyromind.info www.thyroiduk.org www.altsupportthyroid.org
  #7   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 3,861
Default VAT problem - any advice please ??

In message , Ron Lowe
writes
"Andy Burns" wrote in message
net...
gb wrote:

Last week I ordered some double glazing units £2060 inc VAT.

So what should I pay when I go pick them up next week ???

The price quoted, even thou it does say inc VAT, or at the new VAT
rate.


Depends on the "Tax Point" which can happen when they're
delivered/collected or earlier if they've already issued an invoice,
or you've paid a deposit.

Given that the price has been quoted inc VAT then there's no reason
that the supplier *has* to reduce the ex VAT price, but worth £43 to
ask if they can/will keep the net price the same and charge VAT at 15%.





Also, you need to consider whether they have already incurred expense
at the old VAT rate which they need to pass on.

If they were charged VAT on the bits at 17.5% then they claim that VAT
back at 17.5% on their VAT return - or am I missing something ?

THis quarter's VAT returns are going to be a complete dogs dinner

--
geoff
  #8   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 152
Default VAT problem - any advice please ??

In message , gb
writes
Last week I ordered some double glazing units £2060 inc VAT.

So what should I pay when I go pick them up next week ???

The price quoted, even thou it does say inc VAT, or at the new VAT
rate.


The VAT rate to be used is based on the supply date or 'tax point'.
There are exceptions but the general rule is that the tax point occurs
on completion of supply or completion of a service.

Regardless of how your supplier calculates the tax point, it definitely
couldn't have been before you ordered them. According to HMRC guidance
as that would have been after the 18th November, the tax rate depends on
the invoice date being pre/post 1st December. This is the first time
I've ever known an invoice date to influence the tax rate, as opposed
the tax point.

So, if the supply point is after 18th Nov, and the invoice date is on or
after 01 Dec, it must be charged at the new rate.

See page 2 of http://www.hmrc.gov.uk/pbr2008/vat-guide-sum.pdf

If they do go for the new rate or old, I would tend to think that from a
purely legal perspective, they quoted you an "Inc Vat" price, and could
therefore hold you to it (and in doing so increase their actual take).

One little question to ask yourself, if VAT had gone up rather than
down... how strongly would you have wanted to hold them to the inclusive
price rather than the exclusive price to which you would clearly now
prefer ;-)

Hth
Someone
  #9   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 1,270
Default VAT problem - any advice please ??

geoff wrote:
In message , Ron Lowe
writes
"Andy Burns" wrote in message
et...
gb wrote:

Last week I ordered some double glazing units £2060 inc VAT.

So what should I pay when I go pick them up next week ???

The price quoted, even thou it does say inc VAT, or at the new VAT
rate.

Depends on the "Tax Point" which can happen when they're
delivered/collected or earlier if they've already issued an invoice,
or you've paid a deposit.

Given that the price has been quoted inc VAT then there's no reason
that the supplier *has* to reduce the ex VAT price, but worth £43 to
ask if they can/will keep the net price the same and charge VAT at 15%.





Also, you need to consider whether they have already incurred expense
at the old VAT rate which they need to pass on.

If they were charged VAT on the bits at 17.5% then they claim that VAT
back at 17.5% on their VAT return - or am I missing something ?

No, thats right, it is a point which is confusing a lot of people though.
My other half suffered it the other day and mentioned it in a routine
visit to the accountant who by all accounts was scratching his head,
which is a worry TBH.
  #10   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 3,348
Default VAT problem - any advice please ??

On Sun, 30 Nov 2008 17:59:46 UTC, gb wrote:

Last week I ordered some double glazing units £2060 inc VAT.

So what should I pay when I go pick them up next week ???

The price quoted, even thou it does say inc VAT, or at the new VAT
rate.


It's entirely up to them. They quoted you a price with all taxes paid.
The price might still be £2060 with all taxes paid.
--
The information contained in this post is copyright the
poster, and specifically may not be published in, or used by
http://www.diybanter.com


  #11   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 6,020
Default VAT problem - any advice please ??

gb wrote:

Last week I ordered some double glazing units £2060 inc VAT.

So what should I pay when I go pick them up next week ???

The price quoted, even thou it does say inc VAT, or at the new VAT
rate.


Well, the VAT note I received recently seems to say that 15% should be
charged on all invoices raised on or after 1st December, irrespective of
when the work was done or started *provided* that the work did not start
more than 14 days before 1st of December.
  #12   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 269
Default VAT problem - any advice please ??


Also, you need to consider whether they have already incurred expense
at the old VAT rate which they need to pass on.

If they were charged VAT on the bits at 17.5% then they claim that VAT
back at 17.5% on their VAT return - or am I missing something ?

THis quarter's VAT returns are going to be a complete dogs dinner

--
geoff



Oh, OK.
Yes, I see now.

--
R



  #13   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 125
Default VAT problem - any advice please ??

On Sun, 30 Nov 2008 19:13:02 +0000, R D S wrote:

geoff wrote:
In message , Ron Lowe
writes
"Andy Burns" wrote in message
et...
gb wrote:

Last week I ordered some double glazing units £2060 inc VAT.

So what should I pay when I go pick them up next week ???

The price quoted, even thou it does say inc VAT, or at the new VAT
rate.

Depends on the "Tax Point" which can happen when they're
delivered/collected or earlier if they've already issued an invoice,
or you've paid a deposit.

Given that the price has been quoted inc VAT then there's no reason
that the supplier *has* to reduce the ex VAT price, but worth £43 to
ask if they can/will keep the net price the same and charge VAT at 15%.





Also, you need to consider whether they have already incurred expense
at the old VAT rate which they need to pass on.

If they were charged VAT on the bits at 17.5% then they claim that VAT
back at 17.5% on their VAT return - or am I missing something ?

No, thats right, it is a point which is confusing a lot of people though.
My other half suffered it the other day and mentioned it in a routine
visit to the accountant who by all accounts was scratching his head,
which is a worry TBH.



Not sure of the veracity of this guys post but on the face it looks
like a big blooper or as he says, a scam, trying to make a quick buck
before too many prople catch on.

http://groups.google.co.uk/group/alt...&q=currys+scam


  #14   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 125
Default VAT problem - any advice please ??

On Sun, 30 Nov 2008 20:32:41 +0000, Old Git
wrote:

On Sun, 30 Nov 2008 19:13:02 +0000, R D S wrote:

geoff wrote:
In message , Ron Lowe
writes
"Andy Burns" wrote in message
et...
gb wrote:

Last week I ordered some double glazing units £2060 inc VAT.

So what should I pay when I go pick them up next week ???

The price quoted, even thou it does say inc VAT, or at the new VAT
rate.

Depends on the "Tax Point" which can happen when they're
delivered/collected or earlier if they've already issued an invoice,
or you've paid a deposit.

Given that the price has been quoted inc VAT then there's no reason
that the supplier *has* to reduce the ex VAT price, but worth £43 to
ask if they can/will keep the net price the same and charge VAT at 15%.





Also, you need to consider whether they have already incurred expense
at the old VAT rate which they need to pass on.

If they were charged VAT on the bits at 17.5% then they claim that VAT
back at 17.5% on their VAT return - or am I missing something ?

No, thats right, it is a point which is confusing a lot of people though.
My other half suffered it the other day and mentioned it in a routine
visit to the accountant who by all accounts was scratching his head,
which is a worry TBH.



Not sure of the veracity of this guys post but on the face it looks
like a big blooper or as he says, a scam, trying to make a quick buck
before too many prople catch on.

http://groups.google.co.uk/group/alt...&q=currys+scam



Looking again, I think he probably has it wrong.
  #15   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 1,533
Default VAT problem - any advice please ??


"Steve Firth" wrote in message
.. .
gb wrote:

Last week I ordered some double glazing units £2060 inc VAT.

So what should I pay when I go pick them up next week ???

The price quoted, even thou it does say inc VAT, or at the new VAT
rate.


Well, the VAT note I received recently seems to say that 15% should be
charged on all invoices raised on or after 1st December, irrespective of
when the work was done or started *provided* that the work did not start
more than 14 days before 1st of December.


That's just the office reiterating the "tax point rules" because they just
know that (almost) no-one's going to look them up if they leave it to people
to do so.

The VAT rate that applies will be the one at the "Tax Point".

This is the earliest of: date of supply, date of invoice or date of payment
(unless you issue the invoice less than 14 days after the date of supply in
which case that date becomes date of invoice).

For the OP: A quote is not an invoice. Paying a deposit will count as a
"payment" of that sum, this will make life difficult for some people :-(.

HTH

tim




  #16   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 3,861
Default VAT problem - any advice please ??

In message , Old Git
writes
On Sun, 30 Nov 2008 19:13:02 +0000, R D S wrote:

geoff wrote:
In message , Ron Lowe
writes
"Andy Burns" wrote in message
et...
gb wrote:

Last week I ordered some double glazing units £2060 inc VAT.

So what should I pay when I go pick them up next week ???

The price quoted, even thou it does say inc VAT, or at the new VAT
rate.

Depends on the "Tax Point" which can happen when they're
delivered/collected or earlier if they've already issued an invoice,
or you've paid a deposit.

Given that the price has been quoted inc VAT then there's no reason
that the supplier *has* to reduce the ex VAT price, but worth £43 to
ask if they can/will keep the net price the same and charge VAT at 15%.





Also, you need to consider whether they have already incurred expense
at the old VAT rate which they need to pass on.

If they were charged VAT on the bits at 17.5% then they claim that VAT
back at 17.5% on their VAT return - or am I missing something ?

No, thats right, it is a point which is confusing a lot of people though.
My other half suffered it the other day and mentioned it in a routine
visit to the accountant who by all accounts was scratching his head,
which is a worry TBH.



Not sure of the veracity of this guys post but on the face it looks
like a big blooper or as he says, a scam, trying to make a quick buck
before too many prople catch on.

http://groups.google.co.uk/group/alt...s.and.bargains
/browse_thread/thread/f17e9160a2819e08?hl=en&q=currys+scam


Not if you actually read past the first idiot post

it looks like a pure price rise - VAT is not added before the checkout
stage

try harder ...

--
geoff
  #17   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 3,861
Default VAT problem - any advice please ??

In message , tim.....
writes

"Steve Firth" wrote in message
. ..
gb wrote:

Last week I ordered some double glazing units £2060 inc VAT.

So what should I pay when I go pick them up next week ???

The price quoted, even thou it does say inc VAT, or at the new VAT
rate.


Well, the VAT note I received recently seems to say that 15% should be
charged on all invoices raised on or after 1st December, irrespective of
when the work was done or started *provided* that the work did not start
more than 14 days before 1st of December.


That's just the office reiterating the "tax point rules" because they just
know that (almost) no-one's going to look them up if they leave it to people
to do so.


No its not - it was official notification of change in VAT rate, without
which it would be exceedingly foolhardy to make a change


The VAT rate that applies will be the one at the "Tax Point".

This is the earliest of: date of supply, date of invoice or date of payment
(unless you issue the invoice less than 14 days after the date of supply in
which case that date becomes date of invoice).


No, I'm sure its not, if goods are supplied in November and invoiced in
December, the VAT rate will be 15%, the VAT rate in force on the date of
invoicing

can you imagine the a company who does a 30 day invoicing scheme in mid
december being able to actually generate correct invoices ?




For the OP: A quote is not an invoice. Paying a deposit will count as a
"payment" of that sum, this will make life difficult for some people :-(.

HTH

tim



--
geoff
  #18   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 125
Default VAT problem - any advice please ??

On Sun, 30 Nov 2008 20:38:55 +0000, geoff wrote:



Not sure of the veracity of this guys post but on the face it looks
like a big blooper or as he says, a scam, trying to make a quick buck
before too many prople catch on.

http://groups.google.co.uk/group/alt...s.and.bargains
/browse_thread/thread/f17e9160a2819e08?hl=en&q=currys+scam


Not if you actually read past the first idiot post

it looks like a pure price rise - VAT is not added before the checkout
stage

try harder ...



If you had read my post properly, where I said I wasn't sure of the
veracity, because I had not checked it out, or even read my next post,
where I corrected it, instead of being an arsehole who is constantly
trying to make points off people, I might even consider you to be a
member of the human race. Unfortunately, that doesn't appear to be the
case.
  #19   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 3,861
Default VAT problem - any advice please ??

In message , Old Git
writes
On Sun, 30 Nov 2008 20:38:55 +0000, geoff wrote:



Not sure of the veracity of this guys post but on the face it looks
like a big blooper or as he says, a scam, trying to make a quick buck
before too many prople catch on.

http://groups.google.co.uk/group/alt...s.and.bargains
/browse_thread/thread/f17e9160a2819e08?hl=en&q=currys+scam


Not if you actually read past the first idiot post

it looks like a pure price rise - VAT is not added before the checkout
stage

try harder ...



If you had read my post properly, where I said I wasn't sure of the
veracity, because I had not checked it out,


as I said - if you had read past the first idiot post ...

but no, you'd rather go for a bit of scandal without checking further

not my fault

or even read my next post,


What - received after I had posted my reply, yeah right

are you that senile ?


where I corrected it, instead of being an arsehole who is constantly
trying to make points off people, I might even consider you to be a
member of the human race. Unfortunately, that doesn't appear to be the
case.


Honestly IDGAF

--
geoff
  #20   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 9,369
Default VAT problem - any advice please ??



"The Medway Handyman" wrote in message
om...
gb wrote:
Last week I ordered some double glazing units £2060 inc VAT.

So what should I pay when I go pick them up next week ???

The price quoted, even thou it does say inc VAT, or at the new VAT
rate.


The new rate of 15%. The Govmint sets the VAT rate, the supplier meerly
acts as an unpaid tax collector. £2060 - 14.89% + 15%.

£1753.27 + 15% VAT = £2016.26 inc

The £43 saving should be spent on beer - its the law.


He has agreed to a quote inc VAT.
Unless it stated VAT at 17.5% it is still a valid quote.
They just make more profit.

However I expect they will charge the lower rate.



  #21   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 4,410
Default VAT problem - any advice please ??


"Bob Eager" wrote in message
...
On Sun, 30 Nov 2008 17:59:46 UTC, gb wrote:

Last week I ordered some double glazing units £2060 inc VAT.

So what should I pay when I go pick them up next week ???

The price quoted, even thou it does say inc VAT, or at the new VAT
rate.


It's entirely up to them. They quoted you a price with all taxes paid.
The price might still be £2060 with all taxes paid.


A lot of companies have said they will not be passing on the reduction in
VAT. Having spent the past week working on implementing the change on my
main product lines, I can sympathise. I still have a few thousand prices to
review for silly looking prices - a penny or two over a round pound value
for example. The rate change has produced a huge amount of work for no
practical advantage.

Colin Bignell


  #22   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 1,270
Default VAT problem - any advice please ??

nightjar cpb@ wrote:
The rate change has produced a huge amount of work for no
practical advantage.

No, no, the tills will be ringing, the prospect of saving £1 in every
£40 will have people flocking in spending their redundancy money.

I'm not changing any ticket prices. Our industry doesn't attract 17.5%
VAT so it doesn't apply to us. That said I am expecting people to argue
about it and where they do I will make the appropriate reduction at the
till, just to keep the peace.
  #23   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 14,085
Default VAT problem - any advice please ??

On Mon, 1 Dec 2008 08:31:04 -0000, "nightjar".me.uk wrote:

A lot of companies have said they will not be passing on the reduction
in VAT.


And a lot are, was in a shop yesterday that had a notice saying the VAT
reduction would be applied as a discount at the till. This stikes me as
the simple pragmatic approach rather that all the agro of changing VAT
inclusive price labels and, as you say, checking for "silly" prices as a
result.

--
Cheers
Dave.



  #24   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 3,235
Default VAT problem - any advice please ??

On Dec 1, 8:44*am, R D S wrote:
nightjar cpb@ wrote:
The rate change has produced a huge amount of work for no
practical advantage.


No, no, the tills will be ringing, the prospect of saving £1 in every
£40 will have people flocking in spending their redundancy money.


A lot of people seem to be confused and think that prices will come
down by 2.5%.

The saving of 2.5% VAT on £40 (inc VAT) is only 85p.

The prospect is one of saving £1 in every £47.

MBQ
  #25   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 1,270
Default VAT problem - any advice please ??

Man at B&Q wrote:
On Dec 1, 8:44 am, R D S wrote:
nightjar cpb@ wrote:
The rate change has produced a huge amount of work for no
practical advantage.

No, no, the tills will be ringing, the prospect of saving £1 in every
£40 will have people flocking in spending their redundancy money.


A lot of people seem to be confused and think that prices will come
down by 2.5%.

The saving of 2.5% VAT on £40 (inc VAT) is only 85p.

The prospect is one of saving £1 in every £47.

MBQ


Of course, it will be a saving of £2.50 per £117.50 not £100.

I might just have a dish of pound coins on the counter with a sign
'please take one', like the local petrol station do with pennies.


  #26   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 103
Default VAT problem - any advice please ??


A lot of people seem to be confused and think that prices will come
down by 2.5%.

The saving of 2.5% VAT on £40 (inc VAT) is only 85p.

The prospect is one of saving £1 in every £47.

MBQ


Of course, it will be a saving of £2.50 per £117.50 not £100.



Yes, some very clever maths going on with the Government/Inland Revenue.
They are presenting this as a drop of VAT by 2.5% when it is more like
2.13%.

You must always take the 'NET' price (without VAT) and multiply it by the
new 15%
You should NOT take the VAT inclusive price and simply chop 2.5% off.
£100 x 17.5% = £117.50
£100 x 15% = £115.00 ... a diference of £2.50

But if you take VAT inclusive price and chop 2.5% off you don't get the full
£115.00,
£100 x 17.5% = £117.50 - 2.5% = £114.56 and not £115.00.
The actual 'drop' in VAT is more like 2.13%
£100 x 17.5% = £117.50 - 2.13% = £114.99.

I would imagine that firms who advertise their prices EX VAT would benefit
the most as they would only have to change the VAT rate.
Firms like MachineMart advertise their products with both EX VAT and INC VAT
prices, therefore you can still work out their prices from older catalogues
by using EX VAT prices and just adding the new rate of VAT on.
In the end, all companies who charge VAT are unpaid tax collectors, doing
the Governments work for them and not receiving any financial compensation
for having to re-adjust all their VAT INC prices.
There again, that should not give any company any excuse NOT to pass on the
difference to the customer, or would they agree to defrauding the Inland
Revenue??
Dave




  #27   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 4,905
Default VAT problem - any advice please ??

"Dave" gurgled happily, sounding much like they
were saying:

Yes, some very clever maths going on with the Government/Inland Revenue.
They are presenting this as a drop of VAT by 2.5% when it is more like
2.13%.


Umm, not quite. It _is_ a drop in VAT of 2.5%.

17.5% down to 15%.

Nobody ever said that was equivalent to a drop in a vat-inclusive price
of 2.5%. 'course it isn't.

Trouble is, Joe Public is functionally innumerate, and just doesn't
understand basic mathematics...

In the end, all companies who charge VAT are unpaid tax collectors,


Indeed.

I thought Darling Alistair wanted to make it EASIER for us to get access
to credit, not to chop 15% off the revolving interest free loan he gives
us every quarter?
  #28   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 121
Default VAT problem - any advice please ??

On Sun, 30 Nov 2008 17:59:46 +0000, gb wrote:

Last week I ordered some double glazing units £2060 inc VAT.

So what should I pay when I go pick them up next week ???

The price quoted, even thou it does say inc VAT, or at the new VAT
rate.


A Tax "Expert" on Working Lunch today was asked about this sort of
situation but specifically about the VAT on a deposit made before
today and the answer was that there was nothing in it for the
contractor but HMRC had allowed contractors to reduce the VAT to 15%
on deposits made before today but the contractor wasn't obliged to do
so but whatever amount of VAT he took had to be passed on to HMRC .The
lady suggested asking the contactor politely to credit the deposit
with the lower rate and they almost certainly would do so . It has
been said elsewhere that the rate of VAT should be that in force at
the point of delivery so I'd expect you only to pay the reduced amount
when you go to pay for the DG Units but don't get too excited over
what you are going to save ..
  #29   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 187
Default VAT problem - any advice please ??

On Nov 30, 8:51*pm, geoff wrote:
In message , tim.....
writes





"Steve Firth" wrote in message
. ..
gb wrote:


Last week I ordered some double glazing units £2060 inc VAT.


So what should I pay when I go pick them up next week ???


The price quoted, even thou it does say inc VAT, or at the new VAT
rate.


Well, the VAT note I received recently seems to say that 15% should be
charged on all invoices raised on or after 1st December, irrespective of
when the work was done or started *provided* that the work did not start
more than 14 days before 1st of December.


That's just the office reiterating the "tax point rules" because they just
know that (almost) no-one's going to look them up if they leave it to people
to do so.


No its not - it was official notification of change in VAT rate, without
which it would be exceedingly foolhardy to make a change



The VAT rate that applies will be the one at the "Tax Point".


This is the earliest of: date of supply, date of invoice or date of payment
(unless you issue the invoice less than 14 days after the date of supply in
which case that date becomes date of invoice).


No, I'm sure its not, if goods are supplied in November and invoiced in
December, the VAT rate will be 15%, the VAT rate in force on the date of
invoicing

can you imagine the a company who does a 30 day invoicing scheme in mid
december being able to actually generate correct invoices ?


You're (technically) wrong here. The definition above of the Tax
Point is correct, and organisations that invoice more than 30 days
after supply are running the risk of not accounting for VAT
correctly. On an Inspection by HMRC they could be pulled up for it,
the logic being that they'd be reclaiming the VAT on goods that they
bought sooner than paying over the VAT on goods that they'd supplied.

For practical purposes though HMRC have said that they'll be
sympathetic and not penalised businesses that can't quickly and easily
comply with the letter of the law in this quarter's return.

Matt
  #30   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 11,175
Default VAT problem - any advice please ??

In article ,
Andy Burns writes:
gb wrote:

Last week I ordered some double glazing units £2060 inc VAT.

So what should I pay when I go pick them up next week ???

The price quoted, even thou it does say inc VAT, or at the new VAT
rate.


Depends on the "Tax Point" which can happen when they're
delivered/collected or earlier if they've already issued an invoice, or
you've paid a deposit.

Given that the price has been quoted inc VAT then there's no reason that
the supplier *has* to reduce the ex VAT price, but worth £43 to ask if
they can/will keep the net price the same and charge VAT at 15%.


Just heard on the radio - Government has put special rules in
place for this VAT reduction, and the date for the purposes of
VAT rate in force is the date when the supply of goods or
services is completed, not the date you order or pay for them
or are invoiced for them. In the case where invoices and
payments were made before the reduction but supply completes
afterwards, there's a VAT credit note mechanism to get the
excess VAT back from the retailer, or if payment hasn't yet
been made against an invoice, the retailer can simply tear up
the old invoice and reprint with correct VAT amount on it.

Details are apparently somewhere on the HMRC website and are
being sent to all VAT registered businesses.

--
Andrew Gabriel
[email address is not usable -- followup in the newsgroup]


  #31   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 125
Default VAT problem - any advice please ??

On Sun, 30 Nov 2008 21:37:46 +0000, geoff wrote:


try harder ...



If you had read my post properly, where I said I wasn't sure of the
veracity, because I had not checked it out,


as I said - if you had read past the first idiot post ...

but no, you'd rather go for a bit of scandal without checking further

not my fault


I first read it from a different source to google and used the google
address passed on to me by someone else. At that time there was no
further post from my news server. So I only had the first one to go
on. If you could not only read but actually understand English you
would not even begin to consider I was going for scandal.


or even read my next post,


What - received after I had posted my reply, yeah right


What you seem to either, forget or not understand, in your drunken
stupor (I can only assume from your rantings that this be the case),
is that not all news servers work at the same speed and there is very
often large delays for some posts to appear.

are you that senile ?



Far from it.

where I corrected it, instead of being an arsehole who is constantly
trying to make points off people, I might even consider you to be a
member of the human race. Unfortunately, that doesn't appear to be the
case.


Honestly IDGAF


Anyway, I thank you for giving me a piece of your mind. It is a crying
shame you can't really spare it but I guess that makes it all the more
generous of you.

You may waste your time with a reply but I won't be reading it. I have
a life to get on with.

  #32   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 8,319
Default VAT problem - any advice please ??

Adrian wrote:
"Dave" gurgled happily, sounding much like
they were saying:

Yes, some very clever maths going on with the Government/Inland
Revenue. They are presenting this as a drop of VAT by 2.5% when it
is more like
2.13%.


Umm, not quite. It _is_ a drop in VAT of 2.5%.


The tax 'rate' has dropped by 14.29% :-)


--
Dave - The Medway Handyman
www.medwayhandyman.co.uk


  #33   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 4,410
Default VAT problem - any advice please ??


"Dave Liquorice" wrote in message
ll.net...
On Mon, 1 Dec 2008 08:31:04 -0000, "nightjar".me.uk wrote:

A lot of companies have said they will not be passing on the reduction
in VAT.


And a lot are, was in a shop yesterday that had a notice saying the VAT
reduction would be applied as a discount at the till. This stikes me as
the simple pragmatic approach rather that all the agro of changing VAT
inclusive price labels and, as you say, checking for "silly" prices as a
result.


Unfortunately, that is not an option on a web site. However, if they apply
the correct discount, I wonder how many people they will get complaining
that they did not get 2.5% off?

Colin Bignell


  #34   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 103
Default VAT problem - any advice please ??




Unfortunately, that is not an option on a web site. However, if they apply
the correct discount, I wonder how many people they will get complaining
that they did not get 2.5% off?

Colin Bignell



That's all assuming that people were aware of the price of particular
goods/services BEFORE the drop in VAT.
Dave


  #35   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 4,410
Default VAT problem - any advice please ??


"Dave" wrote in message
...



Unfortunately, that is not an option on a web site. However, if they
apply the correct discount, I wonder how many people they will get
complaining that they did not get 2.5% off?

Colin Bignell



That's all assuming that people were aware of the price of particular
goods/services BEFORE the drop in VAT.


If the reduction is applied as a discount at the till, as stated, they will
have the previous price marked on the goods.

Colin Bignell




  #36   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 215
Default VAT problem - any advice please ??

Andrew Gabriel wrote:

Details are apparently somewhere on the HMRC website and are
being sent to all VAT registered businesses.


I got their usual monthly summary email of VAT Note changes over the
weekend, the usual heaps of specific rules that always apply to some
tiny sliver of the economy, and not a peep about VAT rate changes that
affects almost everyone.
  #37   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 3,861
Default VAT problem - any advice please ??

In message , Old Git
writes
On Sun, 30 Nov 2008 21:37:46 +0000, geoff wrote:
or even read my next post,


What - received after I had posted my reply, yeah right


What you seem to either, forget or not understand, in your drunken
stupor (I can only assume from your rantings that this be the case),
is that not all news servers work at the same speed and there is very
often large delays for some posts to appear.


Look you retard

I replied to your first post before your retraction came through

so, put quite simply, how do you expect me to have seen your retraction
before it arrive

and no I'm not drunk


are you that senile ?


better leave that in ...

snipped ****e

--
geoff
  #38   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 3,861
Default VAT problem - any advice please ??

In message , Andrew Gabriel
writes
In article ,
Andy Burns writes:
gb wrote:

Last week I ordered some double glazing units £2060 inc VAT.

So what should I pay when I go pick them up next week ???

The price quoted, even thou it does say inc VAT, or at the new VAT
rate.


Depends on the "Tax Point" which can happen when they're
delivered/collected or earlier if they've already issued an invoice, or
you've paid a deposit.

Given that the price has been quoted inc VAT then there's no reason that
the supplier *has* to reduce the ex VAT price, but worth £43 to ask if
they can/will keep the net price the same and charge VAT at 15%.


Just heard on the radio - Government has put special rules in
place for this VAT reduction, and the date for the purposes of
VAT rate in force is the date when the supply of goods or
services is completed, not the date you order or pay for them
or are invoiced for them. In the case where invoices and
payments were made before the reduction but supply completes
afterwards, there's a VAT credit note mechanism to get the
excess VAT back from the retailer, or if payment hasn't yet
been made against an invoice, the retailer can simply tear up
the old invoice and reprint with correct VAT amount on it.

Details are apparently somewhere on the HMRC website and are
being sent to all VAT registered businesses.


A bit late now, isn't it

--
geoff
  #39   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 103
Default VAT problem - any advice please ??


Look you retard

I replied to your first post before your retraction came through

so, put quite simply, how do you expect me to have seen your retraction
before it arrive

and no I'm not drunk


are you that senile ?


better leave that in ...

snipped ****e

--
geoff





Now, now girls. Put your handbags away. Kiss and make up and give us all a
rest.
Mickey.


  #40   Report Post  
Posted to uk.d-i-y
external usenet poster
 
Posts: 14,085
Default VAT problem - any advice please ??

On Mon, 1 Dec 2008 18:59:11 -0000, "nightjar".me.uk wrote:

And a lot are, was in a shop yesterday that had a notice saying the VAT
reduction would be applied as a discount at the till.


Unfortunately, that is not an option on a web site.


Only if the commerce package doesn't have the facilty for discounts, a
rather poor package if it doesn't IMHO. OK it might need to be enabled but
it should be there.

However, if they apply the correct discount, I wonder how many people
they will get complaining that they did not get 2.5% off?


Quite a few I expect, thinking about the shop mentioned above I think they
were going to knock 2.5% off...

--
Cheers
Dave.



Reply
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules

Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are On
Pingbacks are On
Refbacks are On


Similar Threads
Thread Thread Starter Forum Replies Last Post
Need an advice 'Basement problem' [email protected] Home Repair 2 April 16th 06 12:57 PM
Need advice on problem with ice maker Myrna Home Repair 3 January 9th 06 09:00 PM
Advice on mold problem user Home Repair 1 September 21st 05 10:22 PM
Need Advice: Toilet Flushing Problem minuteman1970 Home Repair 3 July 8th 05 11:22 PM
mold problem need advice batticdoor Home Ownership 0 December 25th 04 04:46 PM


All times are GMT +1. The time now is 09:29 AM.

Powered by vBulletin® Copyright ©2000 - 2024, Jelsoft Enterprises Ltd.
Copyright ©2004-2024 DIYbanter.
The comments are property of their posters.
 

About Us

"It's about DIY & home improvement"