Reclaiming VAT on front door

24

Comments

  • Annie1960
    Annie1960 Posts: 3,002 Forumite
    First Anniversary Name Dropper First Post Combo Breaker
    Annie1960 wrote: »
    Is he VAT registered? You can check this by checking any invoices/receipts he has sent you, as these should have his VAT number on them.

    If there is no VAT number, then he's not VAT registered.

    Just remembered rent is not VAT-able in any case.
  • Stevie_Palimo
    Stevie_Palimo Posts: 3,306 Forumite
    Combo Breaker First Post
    Your OP implies provision of the invoice wasn't part of the agreement. You could tell the owner that you also intend to rent yours out, therefore making it assessable for CGT when eventually sold. This invoice could be set against any capital increase in value, therefore it has a value. On this basis you could negotiate 'compensation' for him getting your share of its value.

    Righto that will keep the LL sweet and onside lol. legally there may be a route to do this but as for practical terms it will never happen in the real world and for individuals more so.
  • frugalmacdugal
    frugalmacdugal Posts: 10,077 Forumite
    Name Dropper First Post Photogenic First Anniversary
    Hi,

    gee whizz woa.

    This is getting complex.

    The person who owns flat above could reclaim vat, if registered for vat, (maybe a wee builder business), we don't know if he is a landlord, with various properties or just happened to get a flat left to him by an aunt or uncle dying, and rents it out.
  • Annie1960
    Annie1960 Posts: 3,002 Forumite
    First Anniversary Name Dropper First Post Combo Breaker
    edited 19 April 2017 at 3:30PM
    Hi,

    gee whizz woa.

    This is getting complex.

    The person who owns flat above could reclaim vat, if registered for vat, (maybe a wee builder business), we don't know if he is a landlord, with various properties or just happened to get a flat left to him by an aunt or uncle dying, and rents it out.

    Why does this matter? Rental income is not VAT-able, regardless of how he came to be a landlord.

    If he is registered for VAT because he runs some other business, it is still not legitimate for him to reclaim VAT on his rental income.

    It is not complex. If you register for VAT, you sign up to HMRC terms and conditions, and they decide what goods and services are liable for VAT and at what rate.
  • McKneff
    McKneff Posts: 38,822 Forumite
    Name Dropper First Anniversary First Post
    If the door is his, why is he not oating fot all of it
    make the most of it, we are only here for the weekend.
    and we will never, ever return.
  • Annie1960
    Annie1960 Posts: 3,002 Forumite
    First Anniversary Name Dropper First Post Combo Breaker
    McKneff wrote: »
    If the door is his, why is he not oating fot all of it

    It's a shared door.
  • Private_Church
    Private_Church Posts: 532 Forumite
    edited 19 April 2017 at 5:22PM
    Jesus, why do people make a very simple question so convoluted..........


    OP the Simple answer is you send him an invoice for half the total cost (including the vat if he charges vat) and he (the landlord) will claim that amount back as a business expense.

    The VAT side of it is also very simple. The man who did the work sent you an invoice . He may or may not be VAT registered and that makes no difference because you are not vat registered or a business customer so you just pay the total amount he invoiced you for.

    You then send the landlord a bill for 50% of the total amount you paid to the builder. So if the builder invoiced you for £300 in total invoice the landlord for 50% (ie £150), don't mention VAT at all because you don't need too and shouldn't anyway because you aren't vat regsitered .

    If the landlord wanted to claim any vat back then he should have dealt with and paid the builder directly. The VAT doesn't come into the equation at all because you aren't registered for vat.
  • Hi,

    gee whizz woa.

    This is getting complex.

    The person who owns flat above could reclaim vat, if registered for vat, (maybe a wee builder business), we don't know if he is a landlord, with various properties or just happened to get a flat left to him by an aunt or uncle dying, and rents it out.

    Only if he was invoiced directiy by the builder and that builder was VAT registered. As the builder invoiced the OP and the OP is not registered for vat the landlord can't reclaim the vat.
  • unforeseen
    unforeseen Posts: 7,280 Forumite
    First Anniversary Name Dropper First Post
    TBH if i was paying half for something i would want a copy of the original invoices to ensure that i wasn't getting ripped off by the other party.
  • McKneff
    McKneff Posts: 38,822 Forumite
    Name Dropper First Anniversary First Post
    Annie1960 wrote: »
    It's a shared door.
    Its a shared door in a house that is owned by the landlord who lives upstars. Tennants are not liable to replace doors...
    make the most of it, we are only here for the weekend.
    and we will never, ever return.
This discussion has been closed.
Meet your Ambassadors

Categories

  • All Categories
  • 343.2K Banking & Borrowing
  • 250.1K Reduce Debt & Boost Income
  • 449.7K Spending & Discounts
  • 235.3K Work, Benefits & Business
  • 608K Mortgages, Homes & Bills
  • 173.1K Life & Family
  • 247.9K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards