Taxi Driver Online :: View topic - Fares Inclusive of Vat

Hi Can anyone Help please, We have just been issued a new table of fares and it states Fares For Distance (Inclusive of VAT). None of my owner drivers are VAT registered so can they charge full amount or do they have to Charge 20% less as not VAT registered. I hope someone can help.

If a person is not VAT registered they can just collect the VAT content of each fare and post it to myself in Carlisle. :wink:

brodiedoe wrote:

You charge the same fare whether you are registered for VAT or not.

Taxi fares are deemed to be VAT inclusive for those who are VAT registered, so they would currently have to pay one sixth of their taking to the VAT man.

The VAT threshold is £77,000 at present, so if your total fares and tips in the last 12 months are above that figure then you need to register.

If you need to register because you are taking over £77,000, please PM me and let me know where you are working, as I would dearly love to work in your LA and would be prepared to move house to do so.

I would like to point to those whose Company, or Cabs, earn more than £19,000 in any quarter. This can be taken to be equivalent of earning above the Qualifying amount.

A VAT Man may visit you and estimate how much you owe him. This is the amount that you are required to pay him, by return, unless you can prove otherwise, which can be expensive.

granddad: You're right, when I first Registered for VAT in 1980, exceeding the limit in any quarter, triggered the requirement to Register. I have just read the regulations and they have been amended on that point.

My warning about VAT Men still holds.

For example, unlike the Police, they can enter your premises without Warrant and are allowed to search everything that is associated, in any way, with you, your family and associates.

Author:	brodiedoe [ Sat May 19, 2012 10:04 am ]
Post subject:	Fares Inclusive of Vat
Hi Can anyone Help please, We have just been issued a new table of fares and it states Fares For Distance (Inclusive of VAT). None of my owner drivers are VAT registered so can they charge full amount or do they have to Charge 20% less as not VAT registered. I hope someone can help.

Author:	captain cab [ Sat May 19, 2012 10:11 am ]
Post subject:	Re: Fares Inclusive of Vat
brodiedoe wrote: Hi Can anyone Help please, We have just been issued a new table of fares and it states Fares For Distance (Inclusive of VAT). None of my owner drivers are VAT registered so can they charge full amount or do they have to Charge 20% less as not VAT registered. I hope someone can help. Taxi fares are VAT inclusive.....if a person or company is VAT registered they must pay the revenue the VAT content of each fare. If a person is not VAT registered they can just collect the VAT content of each fare and post it to myself in Carlisle. CC

Author:	grandad [ Sat May 19, 2012 12:25 pm ]
Post subject:	Re: Fares Inclusive of Vat
captain cab wrote: If a person is not VAT registered they can just collect the VAT content of each fare and post it to myself in Carlisle. CC Form an orderly queue behind CC to get your share of all this VAT. He can't possibly keep it all for himself.

Author:	Brummie Cabbie [ Sat May 19, 2012 1:04 pm ]
Post subject:	Re: Fares Inclusive of Vat
brodiedoe wrote: Hi Can anyone Help please, We have just been issued a new table of fares and it states Fares For Distance (Inclusive of VAT). None of my owner drivers are VAT registered so can they charge full amount or do they have to Charge 20% less as not VAT registered. I hope someone can help. You charge the same fare whether you are registered for VAT or not. Taxi fares are deemed to be VAT inclusive for those who are VAT registered, so they would currently have to pay one sixth of their taking to the VAT man. The VAT threshold is £77,000 at present, so if your total fares and tips in the last 12 months are above that figure then you need to register. If you need to register because you are taking over £77,000, please PM me and let me know where you are working, as I would dearly love to work in your LA and would be prepared to move house to do so.

Author:	skippy41 [ Sat May 19, 2012 1:08 pm ]
Post subject:	Re: Fares Inclusive of Vat
Brummie Cabbie wrote: brodiedoe wrote: Hi Can anyone Help please, We have just been issued a new table of fares and it states Fares For Distance (Inclusive of VAT). None of my owner drivers are VAT registered so can they charge full amount or do they have to Charge 20% less as not VAT registered. I hope someone can help. You charge the same fare whether you are registered for VAT or not. Taxi fares are deemed to be VAT inclusive for those who are VAT registered, so they would currently have to pay one sixth of their taking to the VAT man. The VAT threshold is £77,000 at present, so if your total fares and tips in the last 12 months are above that figure then you need to register. If you need to register because you are taking over £77,000, please PM me and let me know where you are working, as I would dearly love to work in your LA and would be prepared to move house to do so. Dont forget brum having 3 or more cars you can easily exceed the threshold, and then the VAT man cometh, as some of the larger company's around here found out to there cost, even if the vehicles dont belong to the company

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Fares Inclusive of Vat http://www.taxi-driver.co.uk/phpBB2/viewtopic.php?f=5&t=19321	Page 1 of 2

Author:	Sussex [ Sat May 19, 2012 7:24 pm ]
Post subject:	Re: Fares Inclusive of Vat
brodiedoe wrote: Hi Can anyone Help please, We have just been issued a new table of fares and it states Fares For Distance (Inclusive of VAT). None of my owner drivers are VAT registered so can they charge full amount or do they have to Charge 20% less as not VAT registered. I hope someone can help. They charge the rate on the meter, and they don't worry about anything else unless they are vat registered.

Author:	Dusty Bin [ Sat May 19, 2012 11:59 pm ]
Post subject:	Re: Fares Inclusive of Vat
brodiedoe wrote: Hi Can anyone Help please, We have just been issued a new table of fares and it states Fares For Distance (Inclusive of VAT). None of my owner drivers are VAT registered so can they charge full amount or do they have to Charge 20% less as not VAT registered. I hope someone can help. As the others say, the same fares are chargeable either way. As the others allude, this puts the VAT-registered owner at a disadvantage, but for the vast majority of owner-drivers it's an irrelevance.

Author:	wannabeeahack [ Sun May 20, 2012 10:30 pm ]
Post subject:	Re: Fares Inclusive of Vat
the vat can be additional, if joe public ask for a fare its not, if its a company paying on 30 days i add vat but im not hackney

Author:	brodiedoe [ Mon May 21, 2012 11:41 am ]
Post subject:	Re: Fares Inclusive of Vat
Thanks everyone for your replies. It has settled several drivers to hear they do not have to pay the VAT back if their takings are below the VAT Threshold of £77,000. Cheers

Author:	wee eddie [ Mon May 21, 2012 6:15 pm ]
Post subject:	Re: Fares Inclusive of Vat
I would like to point to those whose Company, or Cabs, earn more than £19,000 in any quarter. This can be taken to be equivalent of earning above the Qualifying amount. A VAT Man may visit you and estimate how much you owe him. This is the amount that you are required to pay him, by return, unless you can prove otherwise, which can be expensive.

Author:	grandad [ Mon May 21, 2012 6:57 pm ]
Post subject:	Re: Fares Inclusive of Vat
wee eddie wrote: I would like to point to those whose Company, or Cabs, earn more than £19,000 in any quarter. This can be taken to be equivalent of earning above the Qualifying amount. A VAT Man may visit you and estimate how much you owe him. This is the amount that you are required to pay him, by return, unless you can prove otherwise, which can be expensive. I don't think you are correct here. The VAT threshold is a rolling 12 month period.

Author:	wee eddie [ Mon May 21, 2012 8:43 pm ]
Post subject:	Re: Fares Inclusive of Vat
granddad: You're right, when I first Registered for VAT in 1980, exceeding the limit in any quarter, triggered the requirement to Register. I have just read the regulations and they have been amended on that point. My warning about VAT Men still holds. For example, unlike the Police, they can enter your premises without Warrant and are allowed to search everything that is associated, in any way, with you, your family and associates.

Author:	grandad [ Tue May 22, 2012 6:43 am ]
Post subject:	Re: Fares Inclusive of Vat
wee eddie wrote: granddad: You're right, when I first Registered for VAT in 1980, exceeding the limit in any quarter, triggered the requirement to Register. I have just read the regulations and they have been amended on that point. My warning about VAT Men still holds. For example, unlike the Police, they can enter your premises without Warrant and are allowed to search everything that is associated, in any way, with you, your family and associates. During the two VAT inspections that we have had, the VAT inspector could not even look at the information on our computers.

Author:	wee eddie [ Tue May 22, 2012 7:21 am ]
Post subject:	Re: Fares Inclusive of Vat
granddad: There's a difference between a VAT Inspection and a VAT Investigation. The line-up is something like this. In the first, they're checking whether you have a suitable system set up that is likely to maintain accurate records and that you are using the system on a day to day basis. Should that not be the case then an Inspection becomes an Investigation. In the second, their Computer has thrown up a discrepancy between your figures and those of similar organisations, and they're there to check that they're getting their pound of flesh.

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Author:	wannabeeahack [ Wed May 23, 2012 10:43 pm ]
Post subject:	Re: Fares Inclusive of Vat
You may need to register for VAT, or you may be able to choose to register voluntarily, if you are doing any of the following kinds of business in the UK: •Supplying goods or services within the UK. If your turnover of VAT taxable goods and services supplied within the UK for the previous 12 months is more than the current registration threshold of £77,000, or you expect it to go over that figure in the next 30 days alone, you must register for VAT. However, if your turnover has gone over the registration threshold temporarily then you may be able to apply for exception from registration - see the section later in this guide for more information.