Modular VAT review
Our approach to carrying out a VAT review is a little different. We put you firmly in the driving seat so you have control of which modules happen when so you can budget your time and cost accordingly.
For some businesses determining the liability of supplies is realtively easy. However, each new service line or trading detsination can potentially complicate matters.
It is vital to get this right as set out in VAT law it is the supplliers responsibility to apply the correct rate of VAT to its suppliers. It is the supplier that will receive HMRC’s attention and assessment when things go wrong.
The VAT liability of the supply determines the extent to which the VAT incurred by the business (input tax) can be recovered.
When considering whether to undertake an exercise to determine your business’ liability of suppliers remember to consider:
- are you confident you’re getting it right?
- could you save money by doing it differently?
- is there potential benefits to reviewing contracts, particularly where there is a possibility of a grant/services dispute
The one mandatory element of our modular approach is the requirement to have an initial scoping meeting if you decide you use this particular module.
By adopting a modular approach to your VAT review you are able to take control so you can:
- focus on the specific areas of risk
- address your VAT concerns
- manage/spread the cost of the review
- control the timing of each module so you can prioritise key modules and schedule the progress of the review to fit in with your business
Next steps
Get in touch today to discuss how we can work with you to keep VAT becoming a headache for your business. Our modular VAT review is comprised of the following elements which you can pick and mix over an agreed period of time. The only mandatory element is module one which is the initial scoping element.
- module one: scoping meeting (mandatory element)
- module two: liability of supplies
- module three: expenditure
- module four: partial exemption
- module five: capital goods scheme
