VAT

i did not add vat to the quote because of the change which is about to happen . if i had added 17.5% vat to the quote this would have been wrong as i did not think i be doing the work before jan . the quote was given at a time when it should be 17.5% but the work will be carried out when it 20% so which ever i used would be miss leading

The Garden Co said:

im not sure why roy has stated such added costs , as this i would imagine make him less competitive etc , or perhaps he may see it as looking more professional , im not sure but either way its a disadvantage to him ! also as said a naughty boy !!! im not sure what the gain is here by doing such a thing ! if i came along to quote i would be cheaper as no vat , am i missing something or is it digging a hole for myself !

Stuart Marler said:

If you are not VAT registered, you can not legally state anything to do with VAT, this can be misleading. Talk to Trading Standards.

For instance, you can not put a cost down plus VAT, or state NOT including VAT, if you are not VAT registered, you can only state the price.

This is the main reason why you have terms & conditions. State in there or on the quote, that its only for say 28 days, so if there are any price increases, you can cover this by re-costing if the job doesnt start in that time.

roy parker said:

for me i am not vat registered so mostly include vat but have give a couple quotes this last week and made it clear it was less vat

Replies

Roy Parker December 18, 2010 at 8:44am

i have been looking at an increase because of the cost of fuel and the vat increase since april diesel has gone up 12.5p a litre here and rising .
PRO

Phil Voice December 18, 2010 at 8:53am

Phil

I always quoted prices exclusive of VAT
Roy Parker December 18, 2010 at 8:57am

for me i am not vat registered so mostly include vat but have give a couple quotes this last week and made it clear it was less vat
PRO

Phil Voice December 18, 2010 at 9:34am

One bitter consolation Phil - you won't have to change the VAT back to 17.5% at any time because George Osborne has announced that the new VAT rate will be permanent.

http://www.ft.com/cms/s/0/776d901a-0949-11e0-ada6-00144feabdc0.html...
Fenlandphil December 18, 2010 at 10:08am

I am old enough to remember the introduction of VAT at a permanent rate of 10%, which was reduced by Tony Barber to 8.5% when unemployment hit half a million.

After that it has been nearly all downhill in terms of unemployment and VAT rises nearly all uphill.
Roy Parker December 18, 2010 at 2:00pm

i did not add vat to the quote because of the change which is about to happen . if i had added 17.5% vat to the quote this would have been wrong as i did not think i be doing the work before jan . the quote was given at a time when it should be 17.5% but the work will be carried out when it 20% so which ever i used would be miss leading

The Garden Co said:

im not sure why roy has stated such added costs , as this i would imagine make him less competitive etc , or perhaps he may see it as looking more professional , im not sure but either way its a disadvantage to him ! also as said a naughty boy !!! im not sure what the gain is here by doing such a thing ! if i came along to quote i would be cheaper as no vat , am i missing something or is it digging a hole for myself !

Stuart Marler said:

If you are not VAT registered, you can not legally state anything to do with VAT, this can be misleading. Talk to Trading Standards.

For instance, you can not put a cost down plus VAT, or state NOT including VAT, if you are not VAT registered, you can only state the price.

This is the main reason why you have terms & conditions. State in there or on the quote, that its only for say 28 days, so if there are any price increases, you can cover this by re-costing if the job doesnt start in that time.

roy parker said:

for me i am not vat registered so mostly include vat but have give a couple quotes this last week and made it clear it was less vat
Roy Parker December 18, 2010 at 2:51pm

makes me wonder why i bother some days with all the legal stuff waste carriers PA1 then you should have a something to be able to do leaflet drops is it all worth it and the goverment say they want small business and the next thing we have to look forward to is cpc training if you drive a van or lorry over 3.5 tons anything where you need a tacho which includes 4x4 pulling trailor for business use
Roy Parker December 18, 2010 at 3:10pm

we all pay vat on what we buy in to resell so if the rate changes the price we pay changes so the price we charge has to change as well

to my way of thinking if you quote you have to give price you can keep to for 28 days and for this you can only quote the price less vat when you are 14 days before a vat change
Roy Parker December 18, 2010 at 3:25pm

no on invoices the vat is in the price not vat registered