Taxi Driver Online

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

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Think of how stupid the average person is, and realize half of them are stupider than that.
George Carlin

Form an orderly queue behind CC to get your share of all this VAT. He can't possibly keep it all for himself.

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Grandad,

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.

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Kind regards,

Brummie Cabbie.

Type a message, post your news,
Disagree with other members' views;
But please, do have some decorum,
When debating on the TDO Forum.

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

They charge the rate on the meter, and they don't worry about anything else unless they are vat registered.

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IDFIMH

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.

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

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Of all the things ive lost, i miss my mind the most

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

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.

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Don't dream it ~ Be it.

I don't think you are correct here. The VAT threshold is a rolling 12 month period.

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Grandad,

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.

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Don't dream it ~ Be it.

During the two VAT inspections that we have had, the VAT inspector could not even look at the information on our computers.

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Grandad,

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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Don't dream it ~ Be it.

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.

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Of all the things ive lost, i miss my mind the most