Builder VAT fraud

naf123

I think materials already has VAT paid e.g when he buys the materials e.g bricks, he is paying VAT already for it and passing it onto you.

It sounds like for example the actual cost is 30K materials and 30K labour - if you really had to pay VAT it would be 20% of the labour e.g 6k

or another way of looking at it, 10% of the total sum, e.g 6k

Doozergirl

naf123 wrote: »

I think materials already has VAT paid e.g when he buys the materials e.g bricks, he is paying VAT already for it and passing it onto you.

It sounds like for example the actual cost is 30K materials and 30K labour - if you really had to pay VAT it would be 20% of the labour e.g 6k

or another way of looking at it, 10% of the total sum, e.g 6k

No. If the builder is VAT registered, the customer pays 20% VAT on everything and it will be itemised on the bill.

If the builder isn't VAT registered then there is no VAT itemised in the bill at all, but the cost of the Materials he bought (which would have included VAT) would be included in that lump sum.

You are as confused as the builder is.

stator

You have no claim for a refund.


But he will be in trouble with HMRC, just forward all your invoices to their fraud department.