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  • VAT Memo - Output tax - Time of supply - Tax point - Special rules - Supplies of specific goods and services - Continuous supply of services - 808
    A continuous supply of services is essentially a single supply that is performed over an extended period of time (as opposed to a series of separate supplies). In general, the time of supply for such services is the earlier of receipt of payment, or issue of a VAT invoice. There is no basic tax point. Special rules apply for: - advance invoices (¶810); - supplies between connected parties (¶812); and - supplies of cross-border services received by businesses in the UK (¶9702). - The important elements determining...
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  • VAT Memo - Compliance - Registration - 2600
    There are various requirements to register, and different forms of registration. However, the implications of registration (¶2610) tend to be the same. Anyone who makes wholly exempt supplies (¶350+) is unable to register for VAT.
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  • VAT Memo - Compliance - Registration - Persons making UK supplies - 2640
    A person making taxable UK supplies may be required to register, depending on the value of those supplies. A business may register voluntarily if it is making taxable UK supplies, or if there is an intention to make future taxable UK supplies. Non-UK persons who satisfy particular rules can also register (¶2700).
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  • VAT Memo - Compliance - Reporting - Returns - 2985
    With very few exceptions (see ¶3003), a registered person must submit VAT returns online for every VAT period, and make payment (¶3160+) of any VAT owed at the same time. A professional agent (such as a VAT advisor) can prepare and submit the return, and correspond with HMRC on the trader's behalf. 1. The professional agent must be authorised by the trader, using a form 64-8 for this purpose. 2. For EU sales lists see ¶9330+. 3. For Intrastat returns see ¶9345+. 4. In cases of incapacity or death and the...
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  • VAT Memo - Simplified accounting schemes - Cash accounting scheme - Operating the scheme - Detailed rules for transactions - Rules for special transactions - 4932
    A number of specific types of transaction are dealt with as outlined in the table below. Type of transaction Rules Deposits VAT on deposits which represent advance payment must be accounted for when the deposits are received or paid. If the deposit is refunded, the VAT originally accounted for can be reclaimed. VAT does not apply to deposits taken as security to ensure safe return of goods, whether this is refunded upon return of the goods or retained in the event of loss or damage to the goods. Debts collected...
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  • VAT Memo - Particular activities - Land and property - Place of supply - 5102
    Services relating to specific sites or buildings are deemed to be provided where the property is located (¶9714). So where the property is located: - in the UK, all services are within the scope of UK VAT; - in another EU member state, the services are outside the scope of UK VAT, but the supplier may need to register in the EU state concerned (goods transferred to the EU state from the UK may also be subject to VAT (¶9100)); or - outside the EU, all services are outside the scope of VAT. For this purpose...
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  • VAT Memo - Particular activities - Agents - 7090
    A true agent acts on behalf of another person. However, the mere description of a person as an agent may not reflect the true position in law. Moreover, a person's status as an agent may or may not be disclosed to outside parties. This is important for VAT purposes, because it is always vital to know who is supplying what to whom. A person may or may not be an agent in a given situation. An agent may or may not be the person making the supply in question. Incorrect classification can therefore result in errors...
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  • VAT Memo - Particular activities - Agents - VAT accounting for agents - 7115
    The agent will be involved in at least two supplies: - the main supply between the principal and the third party; and - a supply of agent's services to the principal, for which a commission or fee is charged. It is important to distinguish between these two supplies. Their VAT liability will not always be the same (for example, the sale of books is zero-rated but any commission received by an agent in relation to the sale is standard-rated). When there is an agency relationship, it is important to determine:...
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  • VAT Memo - Particular activities - Agents - Expenses incurred on behalf of others - 7185
    In the course of acting for the principal, the agent may incur additional costs which should properly be paid for by the principal. This situation can also occur in normal commercial situations, where there is no agency agreement but someone is acting on another person's behalf. For VAT purposes these costs could either be: - true disbursements, which the agent recharges without adding any VAT (or profit); or - costs that are part of the agent's own supply and should be included in the value of the agent's...
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  • VAT Memo - Particular activities - Agents - Overseas principals - 7205
    Business transactions involving overseas principals must consider the following requirements: - the appointment of a UK VAT representative in relation to non-EU principals; - the due diligence registration scheme for UK-based fulfilment houses; and - the requirements for online marketplaces to ensure VAT compliance by their users.
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1 to 10 of 18 articles