UK VAT fiddle closed

Past sales as well. They have lots of overdue unpaid tax to cough up.

Of course.

No it was untrue, the VAT is a separate element of the transaction. The actual price of the goods is different in each case.

They didn't need to.

They would deny you the relief on the basis that you didn't have a VAT receipt for the full amount.

tim

It's retrospective (assuming that it isn't lost again in a higher court).

It isn't really. Someone was trying something really sneeky and hoped to get away with it.

tim

"Steve Firth" wrote

No, you don't understand. I'm simply talking about the amount **paid to the retailer** for the goods.

*Not* the "overall cost" to the customer, after any VAT has been reclaimed. You do, after all, pay the retailer the VAT as well - don't you?

"Jonathan Bryce" wrote

Isn't that what I've been saying all along? ;-) Well done, Jonathan!

"tim (moved to sweden)" wrote

You don't generally need full VAT receipts (showing split of VAT) -- as long as it shows a VAT No. is enough, I understand (from a VAT Inspector) -- for purchases below around 200.

"Jonathan Bryce" wrote

Will he need to collect brand new, revised, VAT invoices for each purchase?

It would be good if you could get that in writing from your VAT inspector, because I researched this very question a while ago when disputing VAT invoices with PC World. From memory, there is a very restricted class of purchases where VAT number alone will suffice -- including vending machine purchases, some types of phone calls, and car parking charges. I think these are listed in the relevant paragraph of the VAT Guide.

Matti

Yes I do understand.

Ah, you don't understand.

No, the VAT is paid to HMC&E.

From recollection, Debenhams have already paid the relevant tax - they just kept tabs on what HMCE/HMRC 'owed' them should the courts find in their favour. This from a BBC News article IIRC - I'll post the link if I find it.

Seb

"Steve Firth" wrote

Methinks you are just playing...

So, I'll just ask you to let us all know about *any* retailer which will allow you to walk out of the shop without paying them the required VAT, saying "don't worry, I'll pay the VAT to HMC&E later"!!

We can then all pile down there, pay VAT-exclusive prices for non-business purchases, and not pay the VAT over to HMRC afterwards -- leaving the retailer responsible for paying HMRC instead!

"Matti Lamprhey" wrote

That's interesting. My VAT Inspector asked to see the very receipts I was asking her about -- which actually included some PC World ones! -- and said that it was no problem reclaiming the input VAT paid in respect of them. She even issued a VAT refund herself (partly in respect of these receipts, partly unrelated - all paid directly to my bank a/c), rather than me claiming through my next VAT return!

Please feel free to engage your brain at any time.

"Steve Firth" wrote

Oh, you *were* just playing. Took me a while to realise!

Are you this stupid in real life as well?

Does this mean in future you'll have the option of having a discount from the retailer and a reciprocal transaction charge by your credit card.

Hang on guys!

For things like parking and vending machine purchases there may NOT be any receipt given. In these cases it is possible to claim back the VAT without a bit of paper.

For retail amounts less than 100 you can issue a receipt which doesn't break out the VAT element, for amounts above 100 if the customer asks for detailed VAT receipt then you are obliged to give them a detailed VAT receipt (Fines if you don't)

My Notice 700 (2002) has this as section 16.5 & 16.6. (pages 82 & 83) In practice I would guess the VAT folks won't care if you use 7/47 for most small amounts.

Peter