Paying VAT on part

Okell

Shouldn't consumers have a legitimate expectation that all prices quoted are inclusive of VAT?

If KwikFit actually quoted £235 for the part, that's all they should be charging for it.

It would be helpful if the OP gave a breakdown of the invoice

MattMattMattUK

Okell said:

Shouldn't consumers have a legitimate expectation that all prices quoted are inclusive of VAT?

Nope, they should have a legitimate expectation, and indeed suppliers/retailers are required to by law to have clear pricing, but that does not mean prices cannot be stated ex. VAT. That means that is all B2C sales/quotes the expectation is that prices include VAT unless otherwise stated. That means a price could be stated as excluding VAT, so long as it is clear it excludes VAT, in the absence of stating that the price excludes VAT then the presumption is the price includes VAT. In B2B the presumption and expectation is reversed, prices quotes should be ex. VAT unless otherwise stated.

Okell said:

If KwikFit actually quoted £235 for the part, that's all they should be charging for it.

It depends how KwikFit quoted the part, if they said £235 ex. VAT then that is entirely reasonable for them to charge VAT.

Okell said:

It would be helpful if the OP gave a breakdown of the invoice

As it has been many years since I have had the misfortune of dealing with KwikFit I cannot be sure, however it would expect that KwikFit quoted the part ex. and that was clear, but the OP missed that it was ex. or made the assumption that it would be inc. . It is entirely legitimate for KwikFit to mark up the price of the part and I expect that both the quote and the invoice are clear and correct with regard to VAT, but the OP has unfortunately made an incorrect assumption. 

All that being said I would never use KwikFit unless they were the only option, though their billing was never the issue.

the_lunatic_is_in_my_head

MattMattMattUK said:

Okell said:

Shouldn't consumers have a legitimate expectation that all prices quoted are inclusive of VAT?

Nope, they should have a legitimate expectation, and indeed suppliers/retailers are required to by law to have clear pricing, but that does not mean prices cannot be stated ex. VAT. That means that is all B2C sales/quotes the expectation is that prices include VAT unless otherwise stated. That means a price could be stated as excluding VAT, so long as it is clear it excludes VAT, in the absence of stating that the price excludes VAT then the presumption is the price includes VAT. In B2B the presumption and expectation is reversed, prices quotes should be ex. VAT unless otherwise stated.

Yeap, prices for goods (that is or may be for sale to a consumer) must include VAT as per the The Price Marking Order 2004.

tightauldgit

the_lunatic_is_in_my_head said:

MattMattMattUK said:

Okell said:

Shouldn't consumers have a legitimate expectation that all prices quoted are inclusive of VAT?

Nope, they should have a legitimate expectation, and indeed suppliers/retailers are required to by law to have clear pricing, but that does not mean prices cannot be stated ex. VAT. That means that is all B2C sales/quotes the expectation is that prices include VAT unless otherwise stated. That means a price could be stated as excluding VAT, so long as it is clear it excludes VAT, in the absence of stating that the price excludes VAT then the presumption is the price includes VAT. In B2B the presumption and expectation is reversed, prices quotes should be ex. VAT unless otherwise stated.

Yeap, prices for goods (that is or may be for sale to a consumer) must include VAT as per the The Price Marking Order 2004.

Prices for goods (e.g. shelf stickers and the like) yes need to be marked including VAT where they are sold to consumers - however prices for goods supplied as part of a service (such as car repairs, or plumbing work or whatever) are explicitly excluded from the legislation. 

I'm also of the mind that a quote isn't really considered a 'price' anyway for the purposes of such things but happy to be proven wrong on that.  

the_lunatic_is_in_my_head

tightauldgit said:

Prices for goods (e.g. shelf stickers and the like) yes need to be marked including VAT where they are sold to consumers - however prices for goods supplied as part of a service (such as car repairs, or plumbing work or whatever) are explicitly excluded from the legislation. 

Good spot  

tightauldgit said:

I'm also of the mind that a quote isn't really considered a 'price' anyway for the purposes of such things but happy to be proven wrong on that.  

A quote on it's own isn't binding as it's basically an offer which can be withdrawn but if both parties agree to the quote that forms a contract as far as I understand.

The CRA also automatically includes anything the trader says or writes as part of the contract (if it is taken into account by the consumer when deciding to enter into the contract, which a price obviously is). 

What seems to be missing from the thread is what OP was told this would cost beforehand. 

sheramber

Was the OP quoted a price by KwikFit beforehand?

They priced the part with the manufacturer so do they assume that  would be the price Kwikfit would charge them?

Did the manufacturer quote the price ex VAT?