VAT

[Stubota86]

Vat changes looming for anyone who hasn’t had the letter yet

 

[Regy53]

rotated

 

[Jimoz]

Last I heard off them they delayed it again.

 

[DaveDCB]

That explains it better! Basically if your a middleman it effects you drastically..

 

[Brendan]

doubtful will be pushed back again, anyone vat registered and subcontracting will be 20% worse off and if your on flat rate scheme will need to assess your position as you will be far worse off if your not the main contractor.
For example on flat rate scheme if you did a job for 10k plus vat you wouldn't receive the vat portion but when you do your return you would still pay your flat rate amount on the gross total, so down the 2k in vat plus another £1140 to pay to the vatan

 

[Gunners]

Got the letter too. Looks like March 1st it is. Trying to get out of CIS work entirely if I can. Its becoming very hard work.

 

[JD450A]

It actually makes f**k all difference from what I can tell to anyone bar those whom are "freelancing" and seems to of been simplified from the absolute clusterfuck that was touted last year.

Will only make a difference to one contract we do.

 

[DaveDCB]

It’s gotta be something they are implementing to try and close a loophole that a certain group are exploiting? To most companies it’s no hassle , but it just adds a extra complication as you can no longer just fire a invoice at someone without first checking the payment structure?ie who’s paying them, I assume you can’t just presume that they are the end customer? Correct me if I’m wrong on that?

 

[JD450A]

It’s gotta be something they are implementing to try and close a loophole that a certain group are exploiting? To most companies it’s no hassle , but it just adds a extra complication as you can no longer just fire a invoice at someone without first checking the payment structure?ie who’s paying them, I assume you can’t just presume that they are the end customer? Correct me if I’m wrong on that?

Looking at the flow chart if it's out of the Scope of CIS then it's out of Scope. Works for a private customer on there new build house fall out of scope/end user anyway.

Issue would arise if you where working for Main contractor on a newbuild house.

 

[Jimoz]

Did some subbing for my mate other year he put my UTR in wrong. Got stopped tax then had to pay that tax aswell after submitted return. So double bubble then waited months for refund.
Next time I worked for him I just invoiced him as if I was supplying a product not a service and no CIS.
this becomes red tape nightmare

 

[JD450A]

Did some subbing for my mate other year he put my UTR in wrong. Got stopped tax then had to pay that tax aswell after submitted return. So double bubble then waited months for refund.
Next time I worked for him I just invoiced him as if I was supplying a product not a service and no CIS.
this becomes red tape nightmare

Go gross CIS

 

[Nick...]

As I understand it if you work for a builder which I do 99% of the time,I don’t charge him vat on my invoices
nick...

 

[Jimoz]

Would the only reason they've bought this in because of fly by nighters setting up charging vat then disappearing

 

[V8Druid]

Would the only reason they've bought this in because of fly by nighters setting up charging vat then disappearing

would certainly look that way

 

[Brendan]

As I understand it if you work for a builder which I do 99% of the time,I don’t charge him vat on my invoices
nick...

would certainly look that way

There is alot of industries doing it but as usual construction is an easy sector to hit

 

[Shovelhands]

Do I always need to read the instructions?

No, you just pull the pin, it’s simple….

 

[V8Druid]

No, you just pull the pin, it’s simple….

and hold on to it loosely in both hands

 

[Lancs Lad]

and hold on to it loosely in both hands

And hey presto inner peace ..and leaves the forum in peace from twats like you.
Churchill would make short shift of you.. disrespectful.

 

[fred]

Would the only reason they've bought this in because of fly by nighters setting up charging vat then disappearing

sort off. What was happening on big sites, a firm would tender £200k+vat for a job that the actual rate was £240k thereby undercutting the competition and getting the job. They get paid bump the company and never repay the vat.

Happening on a massive scale apparently and its big number when you work on big sites. VAT man wasnt having it.

For small outfits just register for monthly VAT and you will get your money back quicker than if you were waiting for the customer. we do ours on the 6th every month and the vat is in the bank within a week.