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Where Taxpayers and Advisers Meet

Partially exempt VAT

Tushar Shah
Posts:25
Joined:Tue Nov 08, 2016 1:08 pm
Partially exempt VAT

Postby Tushar Shah » Mon Nov 28, 2016 6:08 pm

Hi,

Client is running post office Business ( Sub agent ) and until last quarter running flat rate vat scheme but from this quarter turnover- Commission crossed the threshold and now need to submit vat return under the standard rated scheme. He is post office sub agent and getting commission from post office monthly basis and commission includes taxable and exempt ( £10k taxable and £5 k exempt Approx.). Client also selling some stationery and other things and we are considering under the std. rated. He has input vat on purchase ( such as greeting card, stationery , repair and maint. of post office and also some other expenses) so whether,

Should I claim full input vat or need to calculate under the Partially exempt VAT scheme?

Thanks,

Tushar

les35
Posts:635
Joined:Wed Aug 06, 2008 3:09 pm

Re: Partially exempt VAT

Postby les35 » Tue Nov 29, 2016 4:11 pm

The Client is Partially Exempt, but experience suggests he will qualify under the de minimis limits. I would also re-consider the FRS, as he may find himself overpaying VAT.

Tushar Shah
Posts:25
Joined:Tue Nov 08, 2016 1:08 pm

Re: Partially exempt VAT

Postby Tushar Shah » Tue Nov 29, 2016 7:35 pm

Thanks


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