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Where Taxpayers and Advisers Meet

VAT Fuel Scale Charges

CG
Posts: 177
Joined: Wed Aug 06, 2008 3:33 pm

VAT Fuel Scale Charges

Postby CG » Tue Sep 03, 2019 9:41 am

Is it possible to use the VAT fuel scale charges when it benefits the business and not use the scale charge when your input tax is less than the scale charge - ie opt in and out each quarter depending on how much fuel has been bought?

I can't find a definitive answer and the VAT helpline said all the information I need is in notice 700/64 Section 8. It doesn't say I can or can't use this method so the helpline advice was that if it doesn't say I can't then I can! I asked if it could be confirmed for me and was told they could not give me any more information than the notice provides.

Does anyone have experience of this to give me a definitive answer?

les35
Posts: 555
Joined: Wed Aug 06, 2008 3:09 pm

Re: VAT Fuel Scale Charges

Postby les35 » Tue Sep 03, 2019 12:22 pm

No. HMRC will not allow you to swap between different methods to account for VAT on road fuel.
I do not think there is anything explicit in legislation, but would not wish to try to defend this at Tribunal!

CG
Posts: 177
Joined: Wed Aug 06, 2008 3:33 pm

Re: VAT Fuel Scale Charges

Postby CG » Thu Sep 05, 2019 3:01 pm

Ok - Thank you for clarifying that.

I have looked at the last few VAT Returns and overall I think it would be of benefit to pay the fuel scale charge. Please can you tell me if I can start doing this from now or can this only be done when a there is a change of vehicle? Also, can I backdate for previous periods and pay the charge and claim the VAT?


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