The HMRC implemented a more equitable method of declaring VAT on sales for businesses that do not pay VAT on their purchases. If your business supplies second-hand goods, art works, antiquities, and collectors’ items, you have an option to adopt a simplified margin scheme to account for VAT on purchases and sales. Instead of paying VAT on the entire selling price, you pay VAT only on the one-sixth of the difference between what you paid for an item and what you sold it for under the margin scheme.
Source GlobalVATcompliance
Latest Posts in "United Kingdom"
- FTT Rules HMRC Closure Notice Bars VAT Registration: Hairdresser’s Turnover Below Threshold, Appeal Allowed
- UK Tribunal Rules Self-Employed Hairdresser Not Liable for VAT Registration Under Rent-a-Chair Model
- EU Insists on VAT Representative for UK Firms Despite British Objections to Import Rules
- Mandatory B2B e-invoicing as of April 2029
- Policy paper – Plastic Packaging Tax: mass balance approach and removal of pre-consumer plastic
