VAT on water bill

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We live in our business and I believe domestic water use is VAT exempt. We have been charged 20% VAT. Waterplus have agreed we are exempt but will only return VAT till last April and no further back, we are not VAT registered so cannot claim it back. should Waterplus pay it all back or for a number of years as it dates back to 2018.

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  • DullGreyGuy
    DullGreyGuy Posts: 10,801 Forumite
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    What is your business? Which uses more water your business or you domestically? 

    Did you fail to inform the company of the change or use or did they fail to adjust the VAT status after being told of the change?
  • MattMattMattUK
    MattMattMattUK Posts: 8,746 Forumite
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    We live in our business and I believe domestic water use is VAT exempt. We have been charged 20% VAT. Waterplus have agreed we are exempt but will only return VAT till last April and no further back, we are not VAT registered so cannot claim it back. should Waterplus pay it all back or for a number of years as it dates back to 2018.
    I do not think they have to no, they billed correctly, it was a business account (WaterPlus are a business only supplier), I expect the rebate on VAT is currently a gesture of goodwill. Additionally, is your only consumption purely residential, because the commercial element should be accounted for within your own accounting (BIK)?
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