Hi – help please!

Does anyone one know the best way of checking if a company is VAT registered?

We were quoted a figure for some work and now we’ve had an invoice from them for the original amount plus VAT. I don’t want to ask them direct as we are having a bit of a dispute with them over the whole thing but would like to find out to see where we stand.

There is no VAT registration number on their invoice or any othe rof their communications.

Many thanks

Julian

There will be a VAT number on the invoice (otherwise they can’t ask for VAT) phone up the IR and check the number out.

Thank you smiffy – bu there is no number on any of their communications. I edited my post while you were replying!

Tell them you are VAT registered so you don’t have to pay it 🙂
Seriously though tis a bit naughty. The threat of reporting them for it may help your cause.

Don’t think that one’s gonna fly, geoffj!

Sorry, just read your edit. Cheers.

Tell them you are VAT registered so you don’t have to pay it

How does that work then?

Oh and the VAT number has to be on he invoice to charge vat.

Also, do you have a copy of the original quote, did it include a provision for vat? If not I think (but I could be wrong) you have the legal right to decline the payment of the vat.

If they want VAT, then they have to put the number on the invoice. Send it back to them, and ask for a proper one.

My rather cack handed answer was based on the fact that if they are stupid enough to try to claim VATwhen they aren’t registered, then they would probably not understand how VAT is collected.

Ah I see.

@KINGTUT

Stupidly (oh so very stupidly, although this company is slightly known to us) we did it in a rush and accepted a verbal quote which was £xxxx. There was no mention of VAT until we got the invoice, and there is no VAT registration number on the invoice (or anywhere else).

I have been told that a company is required to quote a VAT inclusive price when dealing with a private individual… I don’t know if anyone can confirm this (obviously I can’t get to the CAB right now but will be checking with a lawyer or trading standards or the CAB when I can get there).

They have also threatened to come round and rip out what they have installed without any regard to what damage they might do, which was very interesting to the police (but that’s another story)

Just ask them. You’re going to have at some point if you think they’re ripping you off.

I have been told that a company is required to quote a VAT inclusive price when dealing with a private individual… I don’t know if anyone can confirm this

I think that is correct.

It sounds like you are dealing with a right shower of bastards.

Tell them you are VAT registered so you don’t have to pay it

How does that work then?

it doesn’t
you pay the vat and claim it back when you do your vat return

Thanks KINGTUT.

I think you might be right. Quite possibly Trading Standards, HMRC and the police it is then!

Go check with the VAT office, they will help.
They are pretty good with this stuff.

In the meantime.

In a business to business transaction I would assume a price of £500 would be exclusive of VAT, whereas a quotation of £500 to a private individual I would assume that it is VAT inclusive.

When I buy anything from a shop VAT is inclusive but shown as a line item on the receipt (works the other way in the US, you get a price then they stick you with Sales Tax!)

Do you have any paperwork at all before the invoice?

@rogerthecat

Will be checking with the VAT ofice – assume this is the same as HMRC these days?

This is a business-to-private individual transaction, so your second assumption would be correct.

Bit light on paperwork, sadly. No Ts and Cs sent or anything.

With the benefit of hindsight etc!

You can ring the HMRC VAT Helpline on 0845 010 9000. They will confirm / verify a VRN.

IIRC a company can only charge you VAT if they are VAT registered and they need to provide a VAT number on the invoice whether it’s a private sale or business sale. It also needs to be shown on the invoice as VAT inclusive or exclusive.

Speak to HMRC and get them investigated, if they are adding VAT and not declaring it………………..

Thanks all!

Customs officer here.

HMRC will not be able to tell you if a company is VAT registered – we can only verify that a VAT number is valid. As silly as it seems, there is next to nothing we can do if you can’t get the information from them first.

A company isn’t required to produce a VAT number to a private customer, as they aren’t obliged to provide a VAT invoice. You can ask, but they don’t have too.

If you want any advice, give the Advice service a call on 0845 010 9000. You can report tax evasion at http://www.taxevasionhotline.co.uk, but we won’t be able to give you any feedback if we do anything.

Ask them for it – and check its valid here:

http://ec.europa.eu/taxation_customs/vies/vieshome.do