Estate Agent +VAT dispute

Maverick101

After agreeing fee for property sale I asked the estate agent if the fee included vat. I was told that it did. We then went through the contract with agent writing down the agreed fee and I signed it.

A letter for sale has come through showing the fee and stating VAT is not included and I will be charged at the prevalent rate.

I understand that he said/she said won't hold any water. In the contract the fee is listed with a small +vat after it.

Can I contest the added vat on basis that according to Property Ombudsman 2016, a fee including vat should have been written down. Or have I been nicely had having signed the contract.

Cheers for help.

Arleen

Signed contract trumps almost always verbal agreements, so while you can complain, you did sign +vat and that will stand.

Maverick101

I found this snippet on another site which gave me some hope; 'new rules from the Property Ombudsman which came into effect in October 2016 state that quotes should now always include VAT'.

I was not sure if that would trump the contract +vat. Or if that ruling only applied to advertising of fees.

But I do understand a signed contract most likely means game over. It's not that I didn't see the +vat it's that I presumed (after asking) the fee was as agreed.

sheff6107

Or send a cheque without VAT marked 'in full and final settlement.'

Arleen

Maverick101 wrote: »

I found this snippet on another site which gave me some hope; 'new rules from the Property Ombudsman which came into effect in October 2016 state that quotes should now always include VAT'.

I was not sure if that would trump the contract +vat. Or if that ruling only applied to advertising of fees.

But I do understand a signed contract most likely means game over. It's not that I didn't see the +vat it's that I presumed (after asking) the fee was as agreed.

Sure, if you can prove that this is what agent said then you could, maybe, win. But you cannot, as all you have is "he said/she said" and then you signing on the +vat.

hazyjo

The area of 'including' is rather shady. When you say 'is it inclusive of VAT' that can be different to 'X amount including VAT' (often meaning VAT is on top).

If you'd said 'inclusive', you may stand a change. But 'including' is just too grey an area IMO as it's taken on a slightly different interpretation over the years.

G_M

Is this agent signed up to the Property Ombudsman Scheme?

If not, which scheme are they signed up to?

Maverick101

G_M wrote: »

Is this agent signed up to the Property Ombudsman Scheme?

If not, which scheme are they signed up to?

They are I checked. My strategy will be to raise it with estate Agents firm and go to Ombudsman to clarify the decision on fee +vat rather than showing all in one total.

What stings is I'm not trying to cheat anyone but honestly feel like iv been had.

davidmcn

hazyjo wrote: »

'X amount including VAT' (often meaning VAT is on top).

I have never seen "including VAT" meaning this. Doesn't really make sense grammatically for it to mean anything different from "inclusive of VAT". Do you have examples?

glennevis

Are you in the 14 day cooling off period? That might be your way out.

Interesting what Maverick101 says above about the guidelines saying that quotes should include VAT. I recently asked an EA round for a valuation. When we discussed the contract he said "the fee is £xxxx (al-most imperceptible pause) +VAT". I got the feeling he thought I had mug stamped on my forehead and was trying it on. Needless to say, I chose another EA.

hazyjo

davidmcn wrote: »

I have never seen "including VAT" meaning this. Doesn't really make sense grammatically for it to mean anything different from "inclusive of VAT". Do you have examples?

Not really, just that I've been told it before and got stung so always spell it out to people now! Maybe it's my paranoia but I ALWAYS clarify it 'cos I don't believe contractors, etc always use the term 'including' properly!