VAT Advice | AMS Accountancy

Should I charge VAT on recharged expenses?

10 May 2024 | VAT

As a VAT registered IT consultant, I invoice an Agency for my time and I occasionally recharge expenses for travel and accommodation. My Agency refuses to pay the VAT on these recharged expenses – saying they are a ‘disbursement’ and VAT shouldn’t be applied. I’m out...

How to complete a VAT return

1 May 2024 | VAT

Whether you are on the standard or the cash accounting scheme this is how you should complete your VAT return. The only difference is that with the standard scheme you will include all transactions as at their invoice date, whereas for the cash accounting they are...

VAT reverse charge for building and construction services

1 Mar 2024 | VAT, Construction

On 1st March 2021, the VAT reverse charge for building and construction services came into effect for VAT registered businesses in the Construction Industry Scheme. In a nutshell, from 1st March 2021, the reverse charge means that a subcontractor in the CIS scheme...

What is the difference between Cash accounting and Invoice accounting for VAT?

7 Nov 2023 | VAT

Comparison of benefits of each scenario when using Cash or Invoice based accounting.

Why should I register for VAT?

12 Oct 2023 | VAT

There are generally two reasons to register for VAT: Compulsory: When your sales exceed £85,000 in a 12 month period. Voluntary: If registering your business for VAT will be a benefit to you (the benefit is that you can reclaim VAT paid on supplies and expenses). If...

VAT rates in the construction industry (0%, 5%, 20%)

25 Aug 2023 | VAT

There are occasions when plumbers – and, indeed, anyone in construction can charge VAT at 5%. But what are the rules? Standard rate of VAT – 20% Generally, plumbers charge VAT at 20% on: Most domestic repair and maintenance work Work to newly-built structures that...