THE SERVICE I OFFER
I would like to help you obtain the full VAT refund you are eligible to receive. I am available to help you with any VAT queries every step of your journey to self build success. I can speak to your contractors on your behalf to ensure you are charged the correct rate of VAT on your new build or conversion project.
I advise clients to send their invoices to me periodically throughout the project so that any queries can be dealt with straight away. Contractors/suppliers would rather deal with a query that is a few months old than one that is several years old. The process also identifies common paperwork errors and this usually ensures less paperwork problems with the subsequent batches. When you have completed your project everything will be ready for submission.
The VAT guide suggests that you don’t wait until the project is finished before ensuring that you have been charged the correct rate of VAT on your invoices.
There are two consequences of paying too much VAT on an invoice :
– The invoice will be rejected when your VAT refund paperwork is submitted. HMRC will not refund the VAT to you on an invoice where it has been charged at the incorrect rate.
– You will have paid too much money to your contractor; this has a negative impact on your cash flow.
One other main concern is that the contractor may cease trading as a result of bankruptcy during this time. If this does happen then unfortunately the overcharged VAT cannot be refunded as the company no longer exists. I cannot emphasise strongly enough how important it is to ensure the correct rate of vat is charged by all contractors that work on your site. The best way to remember that the invoice should be charged at a different rate is that any contractors on site, if VAT registered, should be charging VAT at either 5% (conversions) or 0% (new builds). If the invoice is at 20% and for an allowable cost, then you have been overcharged!
I can resolve these ‘paperwork’ problems for you, giving you the time to concentrate on the completion of your project, or time to relax and enjoy the finished product.
My fee structure is as follows :-
– Initial consultation, free of charge.
– Set up fee of £150, to be paid as work commences.
– 2-3% of the VAT refunded, payable within 7 days of receiving your refund from HMRC (% applied is dependent on volume of invoices processed.) Subject to a minimum fee of £250.
No VAT is payable on the fees. My company is not registered for VAT.
Included free within the fee charged is help and advice when ever you need it. Also any letters that need to be written to contractors that have charged VAT at the incorrect rate. The letter will detail the amount of vat overcharged, ask for this to be refunded and a credit note raised. Proof of eligibility to reduce or zero rate the project will also accompany the letter to the contractor.