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Topic Title: Vat threshold
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Created On: 07 November 2017 05:58 PM
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 08 November 2017 09:05 AM
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Blencathra

Posts: 13
Joined: 07 November 2017

Most of my clients are VAT registered, I am not, so I book materials out on their accounts works well for all of us
 08 November 2017 08:17 PM
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KFH

Posts: 554
Joined: 06 November 2010

Over the last 30 years I have been VAT registered and non registered. While there have been a number of advantages to being registered when my customers were registered. I usually ended up doing VAT returns in hotel bedrooms after a very full days work. I have also had VAT inspections resulting in wrong assessments which in turn took ages to sort out requiring considerable amounts of my time.

I have tried the the different VAT schemes which claim to make things simpler which they do to some extent.

More recently I have stayed under the limit as most of my customers were not registered and it makes everything much simpler.

If the limit is reduced I can foresee a rise in cash payments to badgers as most domestic customers are very price sensitive and adding 20% to the bill will either put people off doing work or push them to the people not charging VAT for cash.

I am happy to be retired (at least in theory) if things are to be more complicated.
 08 November 2017 08:26 PM
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dustydazzler

Posts: 1439
Joined: 19 January 2016

Originally posted by: KFH

Over the last 30 years I have been VAT registered and non registered. While there have been a number of advantages to being registered when my customers were registered. I usually ended up doing VAT returns in hotel bedrooms after a very full days work. I have also had VAT inspections resulting in wrong assessments which in turn took ages to sort out requiring considerable amounts of my time.



I have tried the the different VAT schemes which claim to make things simpler which they do to some extent.



More recently I have stayed under the limit as most of my customers were not registered and it makes everything much simpler.



If the limit is reduced I can foresee a rise in cash payments to badgers as most domestic customers .


'cash badger'
 09 November 2017 10:09 AM
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davezawadi

Posts: 3890
Joined: 26 June 2002

I assume that you want to have your accounts available to all and sundry. The onlines for money are not secure, and a huge risk. They are no easier to use than my custom system . The costs for Ltd companies are usually significantly higher, the £10 per month is just a teaser price. When I tried one, It was clunky, slow, didn't have the necessary cost database features (20,000 items including stock levels, prices, availability etc) or connections to suppliers databases. In other words it is for very small businesses. I was also able to find out some things which others may have preferred that I did not know. Do I want a cloud application to have sight and control of my bank accounts... no!!

Security is very important, and simple encryption and passwords can never beat physical security. I am not a believer! This goes particularly for Microsoft based applications, they are so easy to hack.

-------------------------
David
BSc CEng MIET
david@ZawadiSoundAndLighting.co.uk
 09 November 2017 12:44 PM
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KFH

Posts: 554
Joined: 06 November 2010

It appears probable that he other problem for small businesses with a reduced VAT threshold is that they then become required to use software that is MTD (making tax difficult or is it digital) compliant, that will require 6 financial returns to the IR each year so the business is aware of the tax due each quarter and can make voluntary payments. The role out of this has been delayed for businesses below the VAT threshold.

Did you know that Gingerbread men with chocolate eyes are zero rated for VAT but if they have chocolate trousers they are standard rated? One of the many intricacies' of VAT after 45 years of complications. Accountants will be kept busy as my experience of VAT men is they do not all know the rules and have draconian powers to enforce them.
 09 November 2017 03:33 PM
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Paradigm

Posts: 872
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David


Really? Can you prove any of that. This is an engineering forum, let's not go into fantasy paranoia please.

Firstly, as you will know, any claim that is given without evidence can be dismissed without evidence. I dismiss your claims on those grounds.

Secondly, what's VAT got to do with being LTD. It's to go with turnover not the classification of a business.

Thirdly, if the low cost is a teaser, I am well and truly teased because that's what I have been paying for the last few years. I said between £10 and £20, you have a bad habit of misrepresenting others words.

I would be most interested to see your custom homemade system and if it was quicker than anything I have used, I would be the first to admit it. I'd also recommend you market it, you'll make a killing.

Lastly, why would a company that has such a low turnover i.e. below the vat threshold need access to huge databases, seems contrary to me.

Rgds

Nick

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"be careful of what you write"
 10 November 2017 09:11 AM
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davezawadi

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Perhaps Paradigm you do not know everything? Perhaps you understand why Windows and other C++ based products are inherently unsatisfactory? Perhaps you know about my business interests? I doubt it!

C++ is based on C and this started out as a simple "hackers" language with almost no rules. It is very much the same now with none of the inbuilt checks and balances which are very necessary to make hack proof applications. I suggest you study why strongly typed languages such as Pascal and ADA are used for defense applications. Why do you think that Windows has updates every week or two? Because it is a hotch potch of badly written, improperly tested, and insufficiently robust code written as quickly as possible using poor programming techniques, and not including all those things which are difficult and take time such as variable range checking, pointer checking, text syntax checking and only programmed typecasting. Typically hackers look for a way to get control of a program from one of its interfaces. They then insert malicious code to do whatever they want. To get an interface in C is simple if the checking is not present, you simply find an input which will take the program buffer onto a suitable pointer variable and there you go! (This is the basis of a buffer overrun attack).

You may call my system "home made", but then perhaps everything I do is home made in the same way you are perhaps a DIYer? By the way the digital television infrastructure which you have watched is home made, as is some of the large scale CGI which you may have seen.

I dislike personal attacks, and if you do not believe what I write here, with careful consideration, I suggest you try some of my suggestions. Many have found them useful, so I will continue whatever you say. My system operates on a very busy trade counter with very significant turnover, managing stock, reordering, cash, VAT, invoicing and warehouse supervision in a multiuser environment with a number of computers. There are about 20,000 lines on the product list, from nuts and bolts to expensive machinery. It has run for a number of years and is error free (in other words zero bug reports). The revenue and VAT men are very happy with the business.

It is simply a matter of time before "cloud" operation changes back to local processors. Remember mainframes computer use, then the PC then the mainframe (the cloud mimics mainframe technology). It is being pushed as fashion takes us back to renting computer time in a bureau. It is not cheaper or substantially better for intensive computing, as a number of big companies have found. It is partly driven by a lack of skills in IT, as many cannot recruit suitably able staff, and of course because the money men see renting software as a new bonanza. Adobe sold me Dreamweaver for example and then told me it was dead, as they offered a cloud package at a substantial monthly cost.

I have suggested too that the first tool one takes to site is a vacuum cleaner, and that the I&T magazine and web site are all unsatisfactory, but then perhaps I know something which they don't? Smart metering is already falling apart as it runs multiple systems, and so will electric car charging for the same reason. At least Television has worldwide standards which anyone can use, so a little of my time may not have been wasted. The prophet is never without honour save in his own country!

-------------------------
David
BSc CEng MIET
david@ZawadiSoundAndLighting.co.uk
 10 November 2017 02:09 PM
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Paradigm

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Originally posted by: davezawadi

Perhaps Paradigm you do not know everything?

Theres no perhaps required, of course I don't, nor do I think I do, just a look back through my post history will show that I come here to gain information moreso rather than exercise my ego by showing everyone how clever I am. There are many on this forum who I would defer to, you yourself are one of those that I would listen to in Electrical Engineering but that doesn't automatically make you an expert in everything. I know what I know but more importantly, I also know what I don't know not and am humble enough to ask for help when I need it. Again, read my post history for evidence of that.

But If I do know something about a subject, I will certainly speak up and I know a fair bit about book keeping for small businesses, enough that quite a few people who work in our industry defer to me for advice and I am also egoless enough that if I am not sure of the answer, I will tell the person that I need to get clarification and go to people with more knowledge than myself to get that.

Now back on topic. This thread is about the reduction of the VAT threshold and our discussion on here started when you stated in your first post that "the the level of admin was significant" for being VAT registered.

I disagree, maybe twenty years ago you would have been correct, but today, not at all, it's incredibly easy with the advent of modern computers and as I said before, adds very little work to what has to be recorded. The fact that you believe it is significant tells me that you don't understand book keeping very well or are just fear mongering, which is a normal reaction in this country to any change in the status quo but quite often unfounded. Look what happens everytime theres a new amendment to the regs, everyone jumps up and down and then, we just get on with it. After all, nothing is permanent, change is inevitable.


I stand by my original post, VAT is nothing to be scared of and there are many myths that are taken as truths around it.

For example, someone on this thread stated that we are just unpaid tax collectors.

Well actually, you are not. By being vat registered you immediately are able to reclaim all the VAT that your business lays out on business expenses that before, you would have lost. This includes, fuel, servicing, equipment purchases, phones etc

You are clever enough so do the sums, on every £1 you spend gross with vat, you reclaim 16.7 pence, that you couldnt before, which as someone like you knows is a saving of 16.77%.

Now with a really small business with a gross spend of vatable items of £5,000 a year, , they are £838.50 a year better off immediately.

Wih my over generous estimate of 15 mins per quarter to do a VAT return, If I was spending £5k a year on vatable expenses, that would equate to £838.50 for an hours work. Who would turn that down? seriously?



I am suprised at your reaction to this, you come across as someone who thinks and is efficient in the way they that do things, why are you not appying that criteria here?


I am also quite suprised on how you reacted to the term homemade, there was no insult or judgment intended in that comment. I just used it because your main field of work, that we know about on here , is sound and lighting and electrical engineering. Therefore your "custom" computer system would be homemade by thiose grounds. It may be brilliant, it may not but without seeing it and its functionality, I cannot comment, hence why I said I would l like to and still do.



For example, I make homemade or DIY guitar effects pedals, I carry out DIY plumbing, I make homemade food. I am an amateur musician. I don't feel any less a person for those facts and the fact that you did is more about your perception, not mine.


You implied that I personally attacked you. Well you made a cryptic comment with absolutely no other information, which was this:

" I was also able to find out some things which others may have preferred that I did not know."


David, it sounded paranoid and without any corroboration has to be relegated to the realm of fantasy. I just stated this. You are welcome to show how you came to this conclusion and I would be happy to examine your findings but I will scrutinise them carefully and pick holes if I see them. If you find that uncomfortable, dont make the claim, its really easy. Remember, extraordinary claims require extraordinary evidence (Hitchens)



As for your comments regarding onlie security, I am more concerned about someone nicking my tools than looking at my business accounts, they really aren't that interesting.

I know you and me seem to cross swords a bit, I am not trying to get at you but you have a habit of saying things that I disagree with, thats all.

No harm intended, it truly is for the sake of sharing information and putting across alternative viewpoints. I genuinely mean that.

Nick






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"be careful of what you write"
 10 November 2017 10:01 PM
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davezawadi

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Oh dear.
So VAT takes you 15 minutes per quarter? Well arn't you lucky. I have known a VAT inspector spend a whole week going through every transaction in a business, and the result? A repayment of £27.

You seem surprised that I resent being accused of being in some way less than aware of what I say is correct. Well we all make mistakes, including me. But in this case what you say and assume is so far from the truth that I have to respond. Perhaps you would like to list what you have done for the world? I am old enough to retire but I still make very significant efforts to help all comers. You have probably looked at my Zawadi sound and lighting website? Perhaps you might look at amdram .co.uk? In every case I offer free HELP AND ADVICE TO ANYONE WHO CARES TO ASK. In many cases this comes with a complete money back guarantee of success. Do you do that? Do you really understand what you say? Perhaps it would be worth thinking about that fairly carefully, and when you have done so offer the same guarantees as I do. BTW so far they have cost my businesses nothing.

As far as the politics of VAT threshold go, I would say that the Chancellor is trying to make small business pay far more tax, despite all the difficulties that they face. This is wrong, we work B****y hard, and some reward is reasonable. So far, despite all the work I am far from rich, in fact a few years ago the BANKS tried to make my life impossible because they were stupid. Some days I had nothing, no heating, and even no food. So think again, running a small business is nothing like a large one, you put your life on the line every day. If you don't believe me then you deserve to fail big time.

Being VAT registered gives HMRC an immediate tax take of overall another 10% at least on your efforts. You clearly do not understand that this is a direct loss to you, when compared with an unregistered business! So your labour charge adds 20% compared with Fred who keeps below the threshold, is that a help or hindrance to your business? You can buy vans and tools, but the refund does not help your competitive position does it? The only way that VAT refunds help is to be in a food business or to be making a loss. If you make a loss for too long they send the inspector to check everything, and you will be the looser, because they are very competent!

-------------------------
David
BSc CEng MIET
david@ZawadiSoundAndLighting.co.uk

Edited: 10 November 2017 at 10:16 PM by davezawadi
 11 November 2017 05:47 AM
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leckie

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I'll just jump in and separate you two having a punch up and offer my opinion, then you can both beat me me up

Whether or not being VAT registered is a help or hinderance depends on your business model.

Let's say you have a small domestic business below the VAT threshold and you are working for private non VAT registered clients on a supply and git basis. You can save them 20% on labour, materials are include of VAT. Any prelims, overheads, etc., charged would also probably include VAT you pay so it is also included. The result is that you would be cheaper than if you were VAT registered in this case.

I would think the vast majority of contractors actually work in mixed sectors that include many clients that are VAT registered and can reclaim VAT. So all the VAT that you had to include for materials and other expenses would not be reclaim able to them and you would be more expensive, and would be at a competitive disadvantage.

I bought a new van about 6 months ago and reclaimed about £3600 in VAT. If you lease a van you can reclaim the VAT on the monthly payment. You can reclaim VAT on the fuel and servicing, etc. Also on mobile phones, tools and plant, and anything else that is a legitimate business expense. If you work that lot out its quite a lot per year. I am not sure how that would leave me out of pocket by 10% David, perhaps you could explain. For my business model I save money by reclaiming VAT and am more competive to my VAT registered clients, which in my case is the majority.

So unless you are a very small domestic contractor you would nearly always be better off and more competitive being VAT registered.

VAT returns? Dead easy. If you are a very small business you could do the sums on a simple spreadsheet, some basic software or even on a sheet of analysis paper. It's only listing inputs and outputs and doing a bit of basic arithmetic. If you want to operate your own business you need to be able to that, it not very hard is it? Also it is a good discipline and gives you a quarterly overview of how you business is doing, and helps develop a bit of business savvy. Even if you are not VAT registered, operating a monthly account system listing inputs and outputs make good business sense, so you have already done most of the work.

Running a business, even a small one, is more that fitting stuff and sending an invoice, that's why you need to allow an overhead on your quotations.
 11 November 2017 08:17 AM
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KFH

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Just to throw MTD into the mix. If the lower threshold is used for MTD there are 6 returns of your full accounting figures required each year to the IR. Four quarterly, a final annual return and an amended return after your accountant has done his magic. This needs to be done using MTD compliant software.

I agree with lekie (autocricket kept changing that to Leslie) that being VAT registered can be advantageous but having had VAT inspections I can agree with Paradigm that they are a considerable waste of time. An old accountant gave me some advice many years ago "Always make a small mistake on your VAT return, then if you have an inspection a few £20 errors are quickly found, you sign a cheque for £80 or so and they go away happy without wasting too much of your time. Otherwise they go through ALL the figures trying to find errors and waste lot of your time."

On the issue of cloud computing. Once your data is on someone else computer (the cloud) you have lost control of who has access to it. In each cloud organisation someone will need to have access to your data usually at leat the guys/gals who maintain the databases. While there are usually controls and processes in place to stop anyone unauthorised from getting access we see report of data breaches from large organisation who claim to have strict security in place on a regular basis. Then there is the issue of what happens if the company goes bust, has a major failure etc, you will be in someone else hands with different priorities to your own. If you use cloud computing these are the sorts of issues you need to address when picking your supplier.

Personally I like my data on my computer where I can back it up and the only person who can screw it up is me. Also I am not then dependent on all those bits of wire and electronics strung around the country and overseas just waiting to be dug up by a JCB or for a weather event to flood/destroy the data centre.

I heard of a large data centre (from one of their customers) where they had a power failure. Battery back up kicked in, the generator started, all was well, the generator stopped, the batteries when flat and all was not well. It took over a day to get back up and running. The diesel in the tank was summer diesel and it was now a very cold winter day so the diesel waxed, blocked the filters and stopped the generator.
 11 November 2017 08:18 AM
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davezawadi

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Its alright Leckie, I am not having a punch up!
You are quite right in your analysis, it makes a huge difference depending on your customer base. I suspect that a good number here have mainly domestic clients, and they don't employ anyone else so staying under the threshold is probably an advantage. Once you employ people registration is going to be necessary anyway, so it all depends on whether you are a sole trader who does small jobs, or a significant contractor.

I am going to stick with what I said about the online packages, but you can take your choice. It is important to realise that good buying and stock control practice (in otherwise you know exactly what you have in stock) makes a big impact on the bottom line. As I said the other day, the number of people who seem to go to the wholesaler every day (or job) and buy just what is required is high. If you plan your likely requirements for several months you can get a substantial discount by placing one large order, particularly if you cultivate a good relationship with the sales manager. It does need some capital tied up, but if you are really hand to mouth you should be the most sensitive to these extra costs and savings which can be made! You will still need to buy special items, and of course it takes some admin to know exactly what you have in the van and shed. However you will soon realise that if you don't keep a proper stock list, you will forget to bill many small items, again which all add up. It also helps to provide itemised invoices to customers, they realise why you are charging the price you are and are more happy to pay up quickly which helps your cash flow, and they are unlikely to waste time questioning your price as they can see exactly what they are getting (in my case down to individual fixings). Billing also uses your selling margin to take invoice costs to the charges, you will never have to look through piles of paper to find out how much to charge for some item, and your prices will follow the latest supply price, not quite so good if items go down but this happens very rarely as you have probably noticed. Your stock value follows the market, rather than what you paid, so adds even more value to your bottom line. It pays to be careful of cable as the price is volatile, but when an offer is there you can stock up. Again the computer can tell you the cost of your holding to see if a buy is worthwhile.

At this stage you will be planning your work better, and get more done as a result. The results will make a useful difference to your bottom line! None of the online packages offers the features suggested above, and have a pale showing in other areas too, and even the well respected Sage is not exactly capable. You can have exactly the same features as the largest supermarket or contractor, and it really does pay.

Computers are very good at this kind of thing, and you can even connect your phone so that you can enter materials used and check for stock on site without any problem (Assuming either wifi or phone internet access is available, so nearly everywhere).

That should give a little food for thought, perhaps more business management should be taught at school and college. It does impact everyone.

-------------------------
David
BSc CEng MIET
david@ZawadiSoundAndLighting.co.uk
 11 November 2017 09:56 AM
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Paradigm

Posts: 872
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Originally posted by: davezawadi

Oh dear.

So VAT takes you 15 minutes per quarter? Well arn't you lucky. I have known a VAT inspector spend a whole week going through every transaction in a business, and the result? A repayment of £27.

David , luck has nothing to do with it, I took the time to learn how to do this and I am disciplined around it, put that with a bit of basic organisation and voila. Luck is for people who don't want to take personal responsibility

You seem surprised that I resent being accused of being in some way less than aware of what I say is correct. Well we all make mistakes, including me. But in this case what you say and assume is so far from the truth that I have to respond. Perhaps you would like to list what you have done for the world? I am old enough to retire but I still make very significant efforts to help all comers. You have probably looked at my Zawadi sound and lighting website? Perhaps you might look at amdram .co.uk? In every case I offer free HELP AND ADVICE TO ANYONE WHO CARES TO ASK. In many cases this comes with a complete money back guarantee of success. Do you do that? Do you really understand what you say? Perhaps it would be worth thinking about that fairly carefully, and when you have done so offer the same guarantees as I do. BTW so far they have cost my businesses nothing.

What!!! That sounds like a humblebrag. So your argument now, is that because your such a great bloke you must be right. Quick hint. My dad always said "If you need to tell the world about your good deeds, they're not really good deeds, they are just a way of showing off"

Also, typing in capitals doesn't make you right either

I have been running my own businesses for nearly thirty years, I still have customers from when I first started out and they still recommend me. That speaks volumes about my abilities.


As far as the politics of VAT threshold go, I would say that the Chancellor is trying to make small business pay far more tax, despite all the difficulties that they face. This is wrong, we work B****y hard, and some reward is reasonable. So far, despite all the work I am far from rich, in fact a few years ago the BANKS tried to make my life impossible because they were stupid. Some days I had nothing, no heating, and even no food. So think again, running a small business is nothing like a large one, you put your life on the line every day. If you don't believe me then you deserve to fail big time.

David, that just comes across as self piteous. I refer you back to what I said about luck above. I was once like you, felt really hard done by, thought the world had dealt me a bad hand and was wallowing in my own victimhood. I was fortunate enough to cross paths with someone who showed me my part in all the mess I was in. When I stopped moaning, being a victim and started taking responsibility, my life got better. It didn't mean that crap things stopped happening, they didn't and a few on this forum know my story but I don't need to get in a contest with you about who's had it the worst, its irrelevant, The important part is I stopped feeling sorry for myself. Accept that life isn't fair or just, it is what it is.

Also, we don't put our lives on the line every day, get real, I am looking at the Poppy on my desk as I type this. They put their lives on the line, not us.

You don't know me at all. So I am goning to make you an offer on here for everyone to hear. I am in South West London and if you are ever up this way, contact me via PM and I'll treat you to lunch. We can then sit across a table and get to know each other properly, share our stories and see each others humanity. I think we both will be enriched from the experience and may find that we have more in common than you think. You may even find that you like me, most people do.


Being VAT registered gives HMRC an immediate tax take of overall another 10% at least on your efforts. You clearly do not understand that this is a direct loss to you, when compared with an unregistered business! So your labour charge adds 20% compared wred who keeps below the threshold, is that a help or hindrance to your business? You can buy vans and tools, but the refund does not help your competitive position does it? The only way that VAT refunds help is to be in a food business or to be making a loss. If you make a loss for too long they send the inspector to check everything, and you will be the looser, because they are very competent!

I refer you back to being organised and knowing what you are doing as above. There is nothing to fear really.

If they lowered the threshold, which was what this thread was originally about, it would create a level playing field, there would be no disadvantage to being registered as all would be.

We can agree to differ, I'm ok with that by my offer above stands.

I also think this thread has done its course, I will reply to leckie, then I am off

I wish you well regardless


Nick


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"be careful of what you write"
 11 November 2017 10:03 AM
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Paradigm

Posts: 872
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Me neither Leckie, my fighting days are long gone but thanks for your concern, its just the internet and not that important

We seem to be in the same camp on it and this thread was started because of the possibility of lowering the VAT threshold which would have the effect of giving a level playing field to most businesses.

Some on here were upset at that idea, I have addressed the reasons for this above, change etc and I merely pointed out like you did, that it isnt really a major issue and adds very little to what you should be doing already. We both could prove that statement.

I firmly believe that if you are running a business, which if you are self employed, you are and a lot of the guys on here fit that description, you should learn about book keeping etc, its time well spent and the investment will pay dividends in the long term. It certainly has for me and others such as yourself

All the best

Nick

-------------------------
"be careful of what you write"

Edited: 11 November 2017 at 10:49 AM by Paradigm
 11 November 2017 11:52 AM
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davezawadi

Posts: 3890
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OK Nick, I will do that. In fact I think we are similar really, and there is no point in worrying over some tax thing because it won't change anything. Your psychoanalysis of me is probably rather wrong, but it is not a problem! When you know me a bit better I think you may invert your view, but we shall see. My remarks were simply a response to reading what you said as making it all up, well I wasn't! Life is a funny thing you know, and I found a rather good saying in a pub loo the other day, it is:

There's a thing about life
You only get one
so get out there and be
Amazing

Regards

-------------------------
David
BSc CEng MIET
david@ZawadiSoundAndLighting.co.uk
 11 November 2017 12:06 PM
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Paradigm

Posts: 872
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David

Looking forward to it already. I'll wait to hear from you.

All the best

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"be careful of what you write"
 11 November 2017 03:05 PM
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Fm

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Joined: 24 August 2011

So have 2 businesses set up
1 registered for vat the other not registered
 11 November 2017 03:56 PM
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leckie

Posts: 4389
Joined: 21 November 2008

Technically you can do that FM but you will be picked out for an investigation by HMRC almost definitely. Nothing wrong with it, but it can get expensive. I know, because I once had a sole trader business and a limited company on the go at the same time. It attracted a full investigation of both businesses - VAT, revenue, the lot. They never found a thing but it cost me nearly five thousand pounds in accountants fees to defend my position. And that was about 20 years ago!

So it's doable, but be careful if you take that route.
 11 November 2017 04:12 PM
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leckie

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Joined: 21 November 2008

As David has introduced a bit of general business advice on the purchasing materials, I will share an experience from many years ago that has been I lifelong business lesson for me.

In 1984 I was employing about five people, and doing reasonable amounts of work both domestic and industrial. It was just prior to my first computers. I was trying to be careful about material spend and decided to analyse my invoices. I had about three suppliers so went through their invoices. I worked out the costs per month, then worked out what the best price I could have paid if I bought each items at the lowest possible price from each supplier. So instead of picking up bit from supplier A just because I was there, what I could have paid if I went to the lowest price supplier. Over several months it worked out at a saving of about £220 per month - this is in 1984!

I then analysed what I bought per month and organised myself to make sure I bought in bulk from the correct supplier. I checked the figures for a couple of months and found I was making the predicted saving. I was in my twenties, and went straight out and bought a brand new XR3i on HP. It cost £186/month. I came home and told my wife, she went crackers! I told her it was effectively free as I was now saving money on material purchases

Ever since I have been extremely well organised with procurement, and all parts of business management as far as possible. It's an easier way of making a good living than slogging your guts out.

I bet if most of you did the same, and I mean every line of every invoice for say a three month period, you would be amazed, especially on sundry items. And once you have it organised the savings keep on coming.
 11 November 2017 04:14 PM
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Alcomax

Posts: 242
Joined: 12 November 2009

Let's say you have a small domestic business below the VAT threshold and you are working for private non VAT registered clients on a supply and git basis.




Would not be adverse to a new GAT, say 50%, for some clients.

Edited: 11 November 2017 at 04:22 PM by Alcomax
IET » Wiring and the regulations » Vat threshold

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