vat

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O dear.. humm i reali need to get and accountant i fink i spend about £1000 every 3 months or so at TP
 
i have been vat registered a few times now... the last job i did was 68k so had to register... anyway as this was a new build and not subject to vat i spoke to the vat man and he said it would benefit me... so i bought a new van and loads of tools and got £1,340.00 back last week... i now watch every single invoice and reciept and to be honest its worh it for me
 
richardbrown said:
I have been avoiding it for 12 months by spliting invoices etc etc and not supplying materials but im fooooked now :(
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youre earning money mate its not all doom and gloom, get youre head around it and try and supply the kit ............it might work out better than you thought if you can get deals on scrim beads etc and charge travis prices ;D
 
its hard keeping it all on track. every job i do i print a copy of the quote and put it in a folder. and put all my material receipts in a box and every April add them up plus wot iv earned and that's my tax return i take it.. still need to get some1 on it who nos!
 
Im on it spunky ...... quite a lot of the guys i work for like to supply so they know im not making out of materials ....... bastards
 
Render Systems said:
i have been vat registered a few times now... the last job i did was 68k so had to register... anyway as this was a new build and not subject to vat i spoke to the vat man and he said it would benefit me... so i bought a new van and loads of tools and got £1,340.00 back last week... i now watch every single invoice and receipt and to be honest its worh it for me
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do you live in a castle?
 
its not really a matter of supply or labour only if you TURN OVER 67k you must register (with some exemptions) if you supply but only Turn over 10k you still need to register because you will have to charge out the vat on the service and goods that you now provide (again some exemptions) but if your gonna supply then you will be payin vat on goods so you will either have to charge it on-if its vat rated job or claim it back if its vat exempt job and you cannot estimate jobs and include vat in the price that are vat exempt-(new builds) with this vat included in the price you will bill these jobs without vat included so you will need to get the vat back from our friends HM revenue.... hope this helps the cd rom you will receive soon explains it all
 
the vat system is not to benefit contractors remember you might get som bonus from tools etc but the reason its there is for the government pal so thats never good for us lot also you will have to submit your books on a regular basis to an inspector from the vat who comes to visit you. the best advise is to stay away from vat until you cannot thats what i did on the advise of my acc. he is god to me and keeps me straight well worth the money. you need one oasis it would seem.
 
Oasis remember you Only pay 20% "as you go" but you are suppose to pay the full ammount, the reason you dont get the bill at the end is because your outlays consume the rest so you end up even or even overpaid your tax hence a rebate. if you never spent a penny on material/fuel/tools or anything and you had paid your 20% you would end up with a fat bill to pay the rest of your tax
 
i just made 68k on last job as i said i paid 20% at source total £13,600 tax but i had subbies and digs etc so my expences of 30k comes of that leaving 38k taxable so they actually owe me about £5,800.00 nice....
 
yea render systems, 20% icome tax oasis was askin about not vat he wanted to know about higher rate tax aswell as vat
 
crazy , that's why i told Alex Ferguson i will not play for Manchester united. i couldn't bare for 60% of my wages to go to paying for job less bums and street lights
 
oasis get an acc. he will do better for you than you can do yourself and get his cost back for ya dont forget his bill is even a company expense. worth their weight in gold they are mate
 
ha ha anyhow iv just email 2 local firms so ill get on 2 it.. just one of them jobs like glossing the skirting's that i said id do one day..
 
VAT's great! I only do new or commercial work and I supply, so i'm always in pocket. That's what pays for my van. f**k domestic work.
 
Vat is so simple once you get ur head around it

i registered coz i wanted a new van and a machine a yr or so ago

plus i got vat back on all assets purchased over the last 3 yrs

i dont supply all that much in the way of materials, but with petrol and the odd tool i save approx £100 a month

takes about half an hour once a month on a sat to fill in a spread sheet on excel. send it off quarterly

an saves me a load on my tax return coz iv basically done it by monthly writing up income and outgoings

worth it in my opinion, especially if you change van every couple of yrs and supply a bit here and there
 
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