Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@.

Search
  • FIRST POST
    • karenbeg16
    • By karenbeg16 12th Jul 17, 10:09 PM
    • 1Posts
    • 0Thanks
    karenbeg16
    Ppi vat
    • #1
    • 12th Jul 17, 10:09 PM
    Ppi vat 12th Jul 17 at 10:09 PM
    Hi there,!
    I wonder if you could help me please.!
    I have had two separate successful PPI claims. The PPI company charges a fee of 30%.!
    Can I check though please whether the VAT that they charge is calculated on the Total Gross Amount or whether it should be calculated on the amount that the service cost (the 30% fee)?
    One claim they have done one way and one the other.!
    Thank you!
Page 1
    • zx81
    • By zx81 12th Jul 17, 10:16 PM
    • 16,850 Posts
    • 17,861 Thanks
    zx81
    • #2
    • 12th Jul 17, 10:16 PM
    • #2
    • 12th Jul 17, 10:16 PM
    On the fee.
    • 00ec25
    • By 00ec25 13th Jul 17, 1:02 AM
    • 6,381 Posts
    • 5,892 Thanks
    00ec25
    • #3
    • 13th Jul 17, 1:02 AM
    • #3
    • 13th Jul 17, 1:02 AM
    VAT is charged on the service they supplied - ie their fee only

    it is not, and cannot be, charged on the total since that is compensation due to you and is outside the scope of VAT

    http://www.taxationweb.co.uk/tax-articles/vat-a-excise-duties/there-is-no-vat-due-on-compensation-monies-but-what-actually-counts-as-compensation.html
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

328Posts Today

3,544Users online

Martin's Twitter
  • It's the start of mini MSE's half term. In order to be the best daddy possible, Im stopping work and going off line? https://t.co/kwjvtd75YU

  • RT @shellsince1982: @MartinSLewis thanx to your email I have just saved myself £222 by taking a SIM only deal for £7.50 a month and keeping?

  • Today's Friday twitter poll: An important question, building on yesterday's important discussions: Which is the best bit of the pizza...

  • Follow Martin