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• 3 April 2008 at 10:43AM

  COOLTRIKERCHICK Forumite

  10.5K Posts

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  3 April 2008 at 10:43AM

  i should imagine there is a way of writting it off so to speak...
  all i can say is when my mother has stock that hasnt sold even in the sale, she gives it to the local charity shop, which then writes her a reciept for the amount of items/retail value of the clothes. which she then gives to her accountant. as stock loss.
  
  when we had a pet shop we used to have a book of anything that died....i know it sounds awfull but in reality it does happen, the main ones were the fish...which i think the accountant used to put down as loses, which off set the profit (or lack of it)
  
  all i can say is make a record of exactly what you dispose off the the total amount it cost you the price of the skip etc...and give this to your accountant and make a point of showing them..or why dont you phone the tax/vatman and ask them how you stand, and what exactly can you claim
  
  but i am sure there will be someone on here who will tell you the right way of doing it..

  Work to live= not live to work

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• 3 April 2008 at 10:59AM

  Pennywise Forumite

  13.4K Posts

  

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  3 April 2008 at 10:59AM

  If you are VAT registered, you should have already reclaimed the VAT when you bought the stock, so you can't claim twice. If you aren't VAT registered, you can't claim the vat back at all.
  
  Assuming at the previous tax year end it was included in stock, which I assume you did add back in your tax return didn't you? So this year end, it won't be. So when you account for the stock difference in your tax return, it will automatically be claimed.

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• 3 April 2008 at 12:10PM

  blue_monkey_2 Forumite

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  3 April 2008 at 12:10PM

  Thanks guys, yes, I got it the wrong way around and meant would I have to pay back the VAT I claimed. The answer is no I have been told and I just need to write off all I dispose of. I don't do a stock take each year but work though my Cost of Sales of all the sales I have done that year (LOL, sounds long winded but is much easier I promise) and use those figures for my Self Assessment on the 'cost of sales' box.
  
  Many thanks.

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