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Where Taxpayers and Advisers Meet

Vat on customer's payments?

Digby69
Posts:5
Joined:Thu Dec 08, 2016 4:27 pm
Vat on customer's payments?

Postby Digby69 » Thu Dec 08, 2016 4:51 pm

I run a driving school with 10 instructors. We sometimes take bulk payments for our instructors from their pupils. For example:
Pupil pays £235 for a block of ten hours, I have to pay Vat on this so I effectively get £195.
Instructor though will want his £235, so when I pay him I lose £40!!!
Is there a way of taking the money in and paying it straight out to the instructor without VAT being paid?
We use sage software if this helps.

pawncob
Posts:5099
Joined:Wed Aug 06, 2008 4:06 pm
Location:West Sussex

Re: Vat on customer's payments?

Postby pawncob » Fri Dec 09, 2016 11:44 am

Duplicate
With a pinch of salt take what I say, but don't exceed your RDA


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