Heads up VAT changes 1st Oct

[Jimoz]

You can keep it separate as In theory this shouldn't be taxed as hits cash flow.

I dont bother myself. I wouldn't get involved with supplying great amounts of materials when subbing so it all just works itself out at year end. Obviously jobs direct for private customers don't stop you any cis so all swings and roundabouts.

 

[fred]

I’m not 100% sure but I think you have to separate them on the invoice.

they have to be separate as you we dont stop CIS on materials, only labour and yes you cant charge VAT on either.

 

[Brendan]

Looks like reverse charge is being postponed for 1 year

 

[JD450A]

https://www.gov.uk/government/publi...construction-services-delay-in-implementation

 

[V8Druid]

https://www.gov.uk/government/publi...construction-services-delay-in-implementation

'Nother major **** up then .... resulting in yet more grief and chaos for those trying to earn a buck ...
or anyone having to deal with HMRC ... probate dept. is in meltdown apparently, after introduction of new rules earlier this year ... they're reporting a 6+ month backlog (and that's what they're admitting to )

 

[Mintsauce]

Looks like reverse charge is being postponed for 1 year

thanks for the heads

 

[TiltyShaun]

This has been postponed for a year.

Edit- didn’t see all ready posted!

 

[Brendan]

Reverse charge has been pushed back till 1st march 2021

 

[JD450A]

Reverse charge has been pushed back till 1st march 2021

It's going the right way

 

[Jimoz]

Id imagine will get scrapped

 

[Brendan]

Id imagine will get scrapped

Hopefully, would save me changing vat status, unfortunately it won't be.

 

[fred]

wont be scrapped, to many rogues exploiting the loophole.

 

[doobin]

Loophole? I want in!!

 

[fred]

main contractor tenders out a job.

company A quotes 10k+vat
company B quotes 10k inc vat

main contractor chooses and pays company B. Company B does work, gets paid then bumps firm and keeps vat thereby undercutting company A and stealing the VAT from HMRC as main contractor has already reclaimed it.

 

[JD450A]

Not really to do with VAT.... goes back to ****'s whom shouldn't be allowed to own or run a firm.

Debtors Prison and reduced freedoms for winding up companies would solve these issues among others.

 

[fred]

rife on large sites. 300k jobs, proper firms being undercut by 50k etc.

 

[JD450A]

rife on large sites. 300k jobs, proper firms being undercut by 50k etc.

As said... Debtors prison.

 

[V8Druid]

As said... Debtors prison.

have said it for years ... all these 'pro' go bust merchants, who make serious bucks (couple around here) should be locked up in a debtor's prison until all debts are repaid in full ... basically a life sentence for some, who need 'extracting' from the biz world anyway. Bankruptcy is just another arm of their business for some .... just remove them from the legit system completely

 

[pettsy]

Trouble is they would just get some gullible fool to “run” the business for them if they started doing that

 

[Jimoz]

I thought vat man had special status as creditor?