VAT return on financed car for disabled

urmiladattani

Need some advice on VAT return for financed car. Found out from this website that as a disabled driver with adaptations to the car, I can claim back the VAT. However as I am unemployed and on disability benefits I was unable to get finance on the car when they offered 2 years free credit. For this reason the car was financed under my brother's name who is employed and qualifies for the 2 years free credit. Now the car and all other documents are under my name but only the finance is under my brother's name. But I have been told by the dealership that I cant get the VAT returned as the finance is under my brother's name as he doesn't qualify for this. However, I am still the one making monthly payments to him in order to keep up with the monthly payments, so am still the one losing out. Please advise if there is a way around this.

Thank you
UD

bris

Tricky one, it might work if your brother invoices you for the payments, but if he is not VAT registered then he can't charge VAT, so a bit if a catch 22. The only real help you will get is the VAT helpline so give them a call.

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