Builder not VAT registered - Is he dodgy?

docmatt

kr15snw wrote: »

My Hubby is a builder and isn't VAT registered.

His total takings (before tax) is normally about £40k a year so he has no need to register!

Does he just work weekends then?

docmatt

mikepayne wrote: »

I am going through the mill with a builder from Early, Reading who has tried to charge VAT without being VAT registered.

He will not accept this is illegal although he has now after 3 months 'waived' as an act of 'good faith' the VAT on the labour.

He is still insisting on claiming the VAT added to materials but will provide no evidence of whether the materials on the quote are Nett or Gross prices.

He was referred to us by a reputable building supply company in Theale, Berks, unfortunately he is anything but reputable!

So beware of builders who charge VAT but do not put a VAT No. on any of their documentation as they are required to do by law if charging VAT. They are simply uplifting all their prices by 20% and defrauding you and HMRC.

This builder has been doing this for years, so anyone in the Reading , Berks area be wary of this type of builder who quotes VAT once on the quote paperwork, but never mentions VAT again or provides a valid VAT number.

Charging VAT without being registered is illegal
Providing documentation without a valid VAT number when charging VAT is illegal
Committing tax evasion is illegal

Mike if he deffo hasn't got a VAT number then name and shame him on here for others to watch out for.

olly300

mikepayne wrote: »

I am going through the mill with a builder from Early, Reading who has tried to charge VAT without being VAT registered.

He will not accept this is illegal although he has now after 3 months 'waived' as an act of 'good faith' the VAT on the labour.

Tomorrow morning get up and do everyone a good deed - http://www.hmrc.gov.uk/tax-evasion/index.htm

I would do it by email.

You need to give full details of the person/company you are reporting but they don't tell them who reported them.

iamcornholio

olly300 wrote: »

Tomorrow morning get up and do everyone a good deed - http://www.hmrc.gov.uk/tax-evasion/index.htm

I would do it by email.

Yes, and while out and about, note everyone you see who is not working and might be claiming benefits illegally, get the reg numbers of young lads driving expensive cars with no way of affording the insurance, and look out for people getting out of disabled badged cars who are obviously not disabled, and report properties with flash cars and flash people who never seem to go to work

Report them all

Personally, I've no problem with small builders working for cash, when I see all the wasted cash which the Government spends, and even the waste from HMRC, or the way large companies tax-dodge with little interest from HMRC.

kr15snw

docmatt wrote: »

Does he just work weekends then?

He works about 40 hours a week at around £18 an hour

£18 x 40 hours = £720 a week

£720 x 49 weeks (3 weeks holiday) = £35k a year

Seems pretty standard to me (well seems a bloody lot to me seeing as Im on £13.5k before tax!!)

docmatt

kr15snw wrote: »

He works about 40 hours a week at around £18 an hour

£18 x 40 hours = £720 a week

£720 x 49 weeks (3 weeks holiday) = £35k a year

Seems pretty standard to me (well seems a bloody lot to me seeing as Im on £13.5k before tax!!)

Sorry I misread your original quote;

kr15snw wrote: »

My Hubby is a builder and isn't VAT registered.

His total takings (before tax) is normally about £40k a year so he has no need to register!

I read that as turnover because we were talking about being under the vat threshold and you said his 'total takings' (i.e turnover) so I was thinking a 40k turnover after materials, insurances and advertising would realistically be 15 to 20k hence the weekend comment

27col

I think that you will find that tax avoidance is legal and tax evasion is illegal. Not the other way round as stated by Alan M.

leveller2911

kr15snw wrote: »

He works about 40 hours a week at around £18 an hour

£18 x 40 hours = £720 a week

£720 x 49 weeks (3 weeks holiday) = £35k a year

Seems pretty standard to me (well seems a bloody lot to me seeing as Im on £13.5k before tax!!)

Turnover can change from year to year if he does a lot of labour only work where the customer pays for materials he will easily stay under the threshold but if he has one renovation job where he supplies materials he can easily get to the vat threshold. Personally I would check him out with HMRC ...


.

olly300

iamcornholio wrote: »

Personally, I've no problem with small builders working for cash, when I see all the wasted cash which the Government spends, and even the waste from HMRC, or the way large companies tax-dodge with little interest from HMRC.

I didn't realise you (and the others who thanked you) had a reading comprehension problem as this builder is trying to con a customer into paying VAT when he's not VAT registered.

Also HMRC are interested in some larger companies tax dodging.

But obviously you wouldn't know that and would just prefer to rant without reading and understanding the post.

leveller2911

olly300 wrote: »

I didn't realise you (and the others who thanked you) had a reading comprehension problem as this builder is trying to con a customer into paying VAT when he's not VAT registered.

Also HMRC are interested in some larger companies tax dodging.

But obviously you wouldn't know that and would just prefer to rant without reading and understanding the post.

I thanked him because I agree with the sentiment of the post.I fully understand thanks........In the past I have contacted the Benefits Agency and also HMRC regarding fraud being commited and to this day nothing was ever done, so whilst I agree with "bubbling" crooks its rarely acted on....


One couple I know of have been commiting benefit fraud for at least 8 years and are still doing it.As an example in Folkestone (Kent) there are 3 benefit investigators(one of which is on sick leave) responsable for a population of around 40,000.....

Am I missing something but don't you "Thank" a post if you find it interesting? You don't have to agree with all of a post .........