Martin Finney

D

djparkins

Western Thunderer
Steve Cook said:
That 8% profit then probably covers the effort required to keep record of the VAT paid and claimed.

Steve
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Steve -

That might be on the pessimistic side as computersied accounts packages do your VAT for you as you go along. It only takes me about 30 minutes quarterly to do my online VAT return & EC Sales listing.

Regards,

David
 
ZiderHead

ZiderHead

Western Thunderer
Same here, I found accounting for VAT trivial when I was registered - just a matter of switching it on in the accounting package and remembering to generate the return and send the payment. Some people consider the accounting a barrier to registration, which it will be if your bookkeeping system is stuffing sheaves of paper into filing cabinets … :D

My current business is exempt (no choice on that) which means that we can't reclaim on over 1/3 of our expenditure. Our net profit would be 12% higher if we could. grrrrr.
 
alcazar

alcazar

Guest
An adder? I hate snakes.......they are the only creature on God's earth of which I am truly afraid.

I once came across a Western Whip Snake in France, it was almost two metres long, as thick as my forearm and VERY aggressive.....although they have no venom, they WILL bite if you are daft enough to get close enough!

As for ones that actually have venom....no thanks.
 
D

djparkins

Western Thunderer
alcazar said:
An adder? I hate snakes.......they are the only creature on God's earth of which I am truly afraid.

I once came across a Western Whip Snake in France, it was almost two metres long, as thick as my forearm and VERY aggressive.....although they have no venom, they WILL bite if you are daft enough to get close enough!

As for ones that actually have venom....no thanks.
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Sorry about that Jeff - I used to think the rattlesnakes were exquisitely marked creatures. John Talbot used to visit us regularly in those days and he thought they were beautiful. Each to his own I guess - I'm more frightened of aggressive dogs!
 
S

SteveO

Guest
Except when the dog is bred to be aggressive – then it doesn't matter how many pink ribbons you put on it, it's still going to bite.
 
OzzyO

OzzyO

Western Thunderer
I would have thought that came under the firs part "how the owner treats it". Or how the owner wants it to react.
 
Osgood

Osgood

Western Thunderer
djparkins said:
I couldn't really follow that. I just tend to work on the net prices with my VAT added on at the end and it annoys the hell out of me if my suppliers are not VAT reg as [see my earlier posting] they are still passing their VAT onto me as they cannot claim it back.

My calculation might be -
Input cost £100 - sell it for £250 [not my mark up!] + VAT - and whatever it comes out to is whatever it comes out to - I would not let the VAT factor impact upon the mark up I wanted to make.

Also, don't you also need to factor in all the other things you can claim VAT back on like tools & modelling equipment, computers & equipment, printing costs and so many other things - moulds, photo-tools and so much more, right down to things like courier fees.

Regards,

David
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David - it was merely a very simple way of showing that for a simple operation which essentially buys in components and services (e.g. boxes and courier fees) and sells same as kits, then UNLESS YOU INCREASE THE SELLING PRICE you cannot generate the same profit if registered for VAT.

Of course, like Steve Cook you could try to reclaim two lots of input VAT - but HMRC will catch up with you eventually and you'll eventually have to pay it all back plus maybe a fine :D).

The other things you suggest should be factored in are surely additional direct costs (like components or boxes or instruction sheets or courier services), or overheads / production equipment which need to be apportioned somehow - but I have already agreed with you that this is where being registered for VAT can become advantageous.

I hereby resgn as self-appointed VAT Consultant to the new consortium. :p

Can I drive the Delivery Van instead please? :)
 
Steve Cook

Steve Cook

Flying Squad
Osgood said:
Of course, like Steve Cook you could try to reclaim two lots of input VAT - but HMRC will catch up with you eventually and you'll eventually have to pay it all back plus maybe a fine :D).
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Ah yes, top fubar maths from myself there - that'll teach me to try and squeeze in a cheeky post before lunchtime :oops:


As you were...
 
Osgood

Osgood

Western Thunderer
Steve Cook said:
Ah yes, top fubar maths from myself there - that'll teach me to try and squeeze in a cheeky post before lunchtime :oops:


As you were...
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I was cursing you for a good half hour :rolleyes: :)) I was supposed to be somewhere else but I was so convinced you had found a legitimate fault in my reasoning / calculations that I had to work out where I'd gone wrong. You know how it is when you just can't see something really obvious in something so simple?

Anyway I finally came to the conclusion after a whole page of scribbled calculations and spreadsheets that there was no way I could be wrong and that you must on a right fiddle there. nono.gif :D
 
Dikitriki

Dikitriki

Flying Squad
We are, however, considering investing in a 'stop me and buy one' company trike for a Mr.Osgood, although some reservations have been expressed at board level about this new marketing initiative.
 
S

SteveO

Guest
I have a new tent – it arrived over a week after me and the littleman came back from our camping holiday...
 
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