Rebate from brewery

[pawncob]

Molson Coors have given a client retrospective refunds, but don't show any VAT element.
The statement looks like this:
Bank Account ending ****1940 will be debited on 25.10.2024 or within 3 working days, with Collection Advice
document number F110001395. This is in accordance with your Terms of Payment: 1 week rolling
Date
Doc.
Type
Our Document
Reference
Your Document
Reference Gross amount
15.10.2024 RX 907897106 NOT APPLICABLE 1268.08
15.10.2024 RX 980947786 0980947786 -344.86
15.10.2024 RX 980947790 0980947790 -6.92
15.10.2024 RX 980947794 0980947794 -127.18
15.10.2024 RX 980947797 0980947797 -183.09
15.10.2024 RX 980947799 0980947799 -287.16
Sum Total 318.87
They say VAT is not applicable. They've credited it as a payment against a gross invoice and it's stated as "Reference Gross Amount".
Can anyone confirm the VAT position?

[Trevor S]

If this is a statement, presumably there's an invoice/credit note produced for each line? Would be worth getting a copy of those documents, to see if they give any more information about what the credits are.

[pawncob]

No paperwork produced for the credits other than the Statement. (and none available).

[Trevor S]

Without supporting paperwork, you aren't going to be able to tell for certain. Might they be refunds of returnable packaging deposits (see section 8 of the terms and conditions on the internet here: https://www.molsoncoors.com/sites/molsonco/files/General%2520TCs%2520of%2520Sale%252020201005_1.pdf)? The credit amounts seem a bit high compared to the invoice value, but maybe purchases were unusually low or returns unusually high during the period. If they are returned deposits, invoices should show the deposits being charged outside the scope of VAT too.

Otherwise, section 18 of notice 700 says that where a supplier issues a credit note to a customer who is entitled to recover VAT, the VAT doesn't need to be adjusted if the parties agree. Although in this case, it appears that the customer hasn't (knowingly) agreed!

[pawncob]

The credits represent a "rebate" for past 6 months purchases.
Good spot on S18.
I think I'll just get client to "agree" and leave well alone.
Many thanks.