VAT Builder Quote 10 February at 5:18PM in In my home (includes DIY) MoneySaving 13 replies 440 views

Merc88

A builder (sole trader not Ltd) provided a 1st quote on his headed paper that listed both a cash price and a price including VAT. There was no VAT number on the quote. After discussion and removing a few items a 2nd quote was provided. The second quote made no mention of VAT and did not list a VAT number. 
We proceeded with 2nd quote and paid in cash. 
Work is now being disputed and there's a threat of legal action from the builder.
Where do we stand, as the client, on the cash payment issue if it goes to court????

Postik

It's up to the builder to know if he's VAT registered or not, and to charge VAT accordingly.  The fact he might be fiddling his VAT should have no bearing on your success in court.  Did you get a receipt for your cash payment?

DullGreyGuy

Cash has existed for over 5.000 years, there is no issues with using cash to settle a bill.

If you hand over a wad of £50 notes then its harder to prove you have paid but it doesnt sound like if you've paid or not isnt in dispute so is irrelevant

diystarter7

Hi OP

We've paid builders in cash if they want that but we have always insisted on a receipt confirming we have paid as that is our only evidence.

I'm safely assuming you got your receipt when you handed over the thousands?

Thanks

diystarter7

DullGreyGuy said:

Cash has existed for over 5.000 years, there is no issues with using cash to settle a bill.

If you hand over a wad of £50 notes then its harder to prove you have paid but it doesnt sound like if you've paid or not isnt in dispute so is irrelevant

Hello

A receipt would be proof but I know, via bank to their account, the evdience is stronger.

Thanks

diystarter7

Hi

I noted your other thread post around the same time as this , are you considering reporting the builder, gas-safe engineer or are these completely two different situations?



Thanks

Merc88

diystarter7 said:

Hi

I noted your other thread post around the same time as this , are you considering reporting the builder, gas-safe engineer or are these completely two different situations?



Thanks

sent you message 

diystarter7

Merc88 said:

diystarter7 said:

Hi

I noted your other thread post around the same time as this , are you considering reporting the builder, gas-safe engineer or are these completely two different situations?



Thanks

sent you message 

Thanks
I've messaged, your choice
Good luck

Section62

diystarter7 said:

DullGreyGuy said:

Cash has existed for over 5.000 years, there is no issues with using cash to settle a bill.

If you hand over a wad of £50 notes then its harder to prove you have paid but it doesnt sound like if you've paid or not isnt in dispute so is irrelevant

A receipt would be proof but I know, via bank to their account, the evdience is stronger.

If the work is being done off the books then a receipt doesn't really prove anything.

Anyone can print or write out a fake 'receipt'.

If the work is done on the books and a sequentially numbered receipt is provided by the trader then it would be difficult (if not impossible) for them to demonstrate that the receipt isn't genuine.

Anything else though is open to doubts being cast on whether it is a genuine receipt issued by the trader, and thus whether or not payment has actually been made.

And if the trader is so dodgy they are willing to issue traceable receipts/invoices for work done cash-in-hand then employing them to do work on your house would be ill-advised.

aoleks

no relevance to the actual dispute, even if it's a payment dispute. you were given an invoice, you paid, end of.

how the builder manages his financial affairs and whether he declares income for tax purposes is clearly not your business.

diystarter7

aoleks said:

no relevance to the actual dispute, even if it's a payment dispute. you were given an invoice, you paid, end of.

how the builder manages his financial affairs and whether he declares income for tax purposes is clearly not your business.

Hiya

I agree in part and also agree with OP

Why should OP pay vat when there is no evidence the builder is VAT registered?

However, feel free to disagree and this is not aimed at you or the OP - if I was advised that our ensuite inc all parts etc was going to cost  xxxx iv VAT. Then the builder gave me a none VAT receipt for the same amount - unless I could reclaim vAT, I would not be bothered

To be clearl, IMO OP has a point and you aslo have a point.

As I said before, I can pay cash but always get a receipt and then its as you said.

Thanks