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Contractual Charges and V.A.T.
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The_Deep
Posts: 16,830 Forumite
It is my understanding that so called "contractual charges" attract v.a.t. and fully compliant v.a.t. invoices must be issued
It therefore follows that such an invoice which does not mention it cannot be a contractual charge, and therefore must be an invoice for liquidated damages for breach of contract or trespass.h
https://www.gov.uk/invoicing-and-taking-payment-from-customers/invoices-what-they-must-include
Is this not a silver bullet for all non Revenue compliant invoices for contractual charges.
It therefore follows that such an invoice which does not mention it cannot be a contractual charge, and therefore must be an invoice for liquidated damages for breach of contract or trespass.h
https://www.gov.uk/invoicing-and-taking-payment-from-customers/invoices-what-they-must-include
Is this not a silver bullet for all non Revenue compliant invoices for contractual charges.
You never know how far you can go until you go too far.
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It is my understanding that so called "contractual charges" attract v.a.t. and fully compliant v.a.t. invoices must be issued
https://www.gov.uk/invoicing-and-taking-payment-from-customers/invoices-what-they-must-include
It therefore follows that such an invoice which does not mention it cannot be a contractual charge, and therefore must be an invoice for liquidated damages for breach of contract or trespass.h
https://www.gov.uk/invoicing-and-taking-payment-from-customers/invoices-what-they-must-include
Is this not a silver bullet for all non Revenue compliant invoices for contractual charges.
Wish you were right, but what it actually means is that the PPC has issued a non-compliant invoice. In other words, the mistake is on the invoice rather than the "crime". But it might be a silver bullet in another tack.
That is why I wrote only a few days ago that the motorist shold appeal asking for a VAT invoice as per your link. Now the PPC has either to comply - and then run the risk of HMRC coming down on them - and going back years - for their slice of VAT collected, or the PPC trying to wriggle out of it and producing a valid appeal reason to the IAS.
I previously posted including this
""I have received your invoice for parking. The vehicle in question is a company car and expenses such as parking are able to be offset against business costs. However, any VAT needs to be accounted for, as per HMRC regulations and requirements. Would you, therefore, please reissue your invoice with the relevant VAT information in order that my accountant can advise."
C-M added further points and words as well - see here http://forums.moneysavingexpert.com/showthread.php?p=66181062&highlight=#post661810620 -
Excellent, I will certainly use that If the Memsahib should pick up another invoice.
However, if they decline to issue a vat invoice, does this not shoot down in flames their claim that it is a contractual charge, and thus open them to GPEOL?You never know how far you can go until you go too far.0 -
Excellent, I will certainly use that If the Memsahib should pick up another invoice.
Read the full link thread as there are more points as well to try to get round the IAS "watertight" refusal points we have seen in the last week. :beer:
Oh, and tailor it with some bits from your own Govt link which I am bookmarking.0 -
It ought to be a silver bullet if the PPC is not playing by the rules i.e. they tell the "customer" it's a contractual charge but they tell the Revenue it's damages for breach of contract.
By asking them for a VAT invoice you force them to choose: (i) issue a fraudulent invoice (ii) refuse to issue an invoice or (iii) admit it's not a contractual charge after all.
(i) and (ii) would of course invite attention from HMRC and possibly criminal charges.Je suis Charlie.0 -
VAT.
Fiduciary duties of Directors Companies Act 2006?REVENGE IS A DISH BETTER SERVED COLD0 -
Dear PPC
I have just received your demand ref xxxxx
So that this matter may be given full and thorough consideration I require the following information within 7 days of this letter so that I can attempt to conform to your arbitrary and unilaterally imposed timeframe and appeal the charge .
1. Is the charge based on a purported breach of contract or a supposed contractually agreed charge for the provision of parking ?
2. If the charge is for breach of contract please provide evidence of your actual loss or genuine pre estimate of loss .
3. If the charge is a contractual fee for the provision of parking I will require the issue of a valid VAT invoice .
If you fail to provide the requested information it is on the understanding that the charge has been cancelled .
(Up ) Yours0 -
Excellent, I will certainly use that If the Memsahib should pick up another invoice.
However, if they decline to issue a vat invoice, does this not shoot down in flames their claim that it is a contractual charge, and thus open them to GPEOL?
No. It simply confirms that they are numpties about the law and legal requirements.
However it does give you a great appeal point to the IAS in that you were unable to consider the charge/invoice until you were presented with a legally compliant invoice in order that you could recover any VAT. The charge can not be overdue until the legal paperwork is in pplace!
You need to look at the link you gave me particularly the table showing what needs to be in a simplified invoice (In the table), but read it carefully on the YES lines. Remember this is in addition to what every invoice should include on the preceding page.0 -
salmosalaris wrote: »Dear PPC
I have just received your demand ref xxxxx
So that this matter may be given full and thorough consideration I require the following information within 7 days of this letter so that I can attempt to conform to your arbitrary and unilaterally imposed timeframe and appeal the charge .
1. Is the charge based on a purported breach of contract or a supposed contractually agreed charge for the provision of parking ?
2. If the charge is for breach of contract please provide evidence of your actual loss or genuine pre estimate of loss .
3. If the charge is a contractual fee for the provision of parking I will require the issue of a valid VAT invoice .
If you fail to provide the requested information it is on the understanding that the charge has been cancelled .
(Up ) Yours
Getting there. You need to say that you need a fully compliant VAT invoice in order that you are able to reclaim the VAT and point them to the link in the Deep's post above for what it should complain.
You then say that you are unable to process this demand further until you receive the relevant compliant paperwork. And you add the bit about the contract in the link I provided as well from c-m's post.0 -
Is the VAT invoice request only suitable for Invoices on Company cars or any vehicle?0
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Nothing to stop you requesting a VAT invoice for anything. Even if you're not a company you might be wanting to re-charge it to your employer or you might be self-employed or whatever.Je suis Charlie.0
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