Vat on van

corinna26

My son just bought a new van for work an had to pay vat, he is PAYE but is there any way he can claim
back the vat he paid

facade

Only if he has a VAT registered business, and the vehicle is for business use. (Actually, if it is 50/50 business & private use, he can claim back 50% of the VAT- it is pro-rata)

Grumpy_chap

Does your son receive mileage payments from his employer?  If these are less than the AMAP rates, your son can claim back the difference against tax.  (Can only claim the tax back on the mileage proportion that has not been paid, not the full rate from the tax man.)

AdrianC

corinna26 said:

My son just bought a new van for work an had to pay vat, he is PAYE but is there any way he can claim
back the vat he paid

Everybody pays VAT on everything. VAT-reg businesses can reclaim VAT on purchases they make in the line of their business.

If he's PAYE, that means he's employed. If he bought it, then it's no different to him buying anything else. Why his employer expects him to provide the van is another question, but I'm sure he's being suitably reimbursed for the use.

Herzlos

That was my thinking, if he's PAYE, why is he buying the van?

burlingtonfl6

I get this every day off someone who thinks they don't have to pay vat on vans.

corinna26

The company he works for do not provide him with van or tools he has to provide himself also he doesn’t get anything for mileage so we’ve been keeping fuel receipts an hopefully we can get him something back.

Grumpy_chap

I understand it is possible to claim back mileage for the van when used for business purposes.  I know the rules for a car and assume it is the same, but hopefully someone else will confirm.

NottinghamKnight

Mileage rates are the same for a van as a car 45p up to 10,000 miles and 25p per mile above. Contact HMRC to claim the money back, by phone, post or by self assessment. The benefit is actually the tax back on the rates quoted above, so fro a basic rate tax payer the actual cash value is 9p per mile. 

nottsphil

corinna26 said:

The company he works for do not provide him with van or tools he has to provide himself also he doesn’t get anything for mileage so we’ve been keeping fuel receipts an hopefully we can get him something back.

Sounds like self employed status to me. Is National Insurance deducted from his wage, and is there a PAYE ref. No. on his slip?