Taxi Driver Online

Read and discuss, have we been missing something?

https://www.gov.uk/government/consultat ... hair-users

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Alway's been about Tightening the Grip!

I've not read the article yet but my accountant has picked up on it and he say's I quote:


Hi Dougie
Reviewed legislation,where the vehicle has any commercial use the exemption does not apply,it specifically defines domestic or personal use. Personal use does not include business use ie using the vehicle as a taxi.
Grant. End of quote

It seems a bit unfair as I'm hearing buses with disabled access might be VAT exempt, anyone clear this one up?

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Alway's been about Tightening the Grip!

So the VAT registered commercial Taxi Operators and bus companies can claim their VAT back but the small independent Wav investing cabbie doesn't qualify for VAT relief for supplying an enforced through regulation WAV, another case of the wee guy in the street getting shafted.

I think we WAVs have a case, where regulation is enforced to provide a WAV, we should qualify for VAT relief, I'm thinking those on here in this enforced position like myself should take this discrimination to their local MP, E7 and M8s fit the criteria for the VAT relief but because we don't earn enough to claim our VAT back and because we operate as a Taxi we are exempt.

I'd like to hear from Grandad and CC on this, this is totally wrong that we don't qualify.

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Alway's been about Tightening the Grip!

Any vehicle with 9 or more passenger seats is zero rated for VAT.

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Grandad,

There is absolutely no reason that you can't register for VAT and claim all the VAT back on all your expenses such as fuel and repairs. You will, of course, have to account for VAT on all your income.

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Grandad,

Thought there was a threshold? I presumed I didn't earn enough to register for VAT

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Alway's been about Tightening the Grip!

VAT Threshold explained

https://www.gov.uk/vat-registration-thresholds

Why is it not compulsory under the threshold? Is it worth it to register if your below the threshold? I've never gave VAT registration a thought Always under the impression I didn't earn enough.

Is this though enough to deny Small independent black cab WAV providers full VAT relief on providing a highly valued vehicle that benefits all forms of disability, I say if we are enforced through regulation to operate a WAV then we should qualify for VAT relief regardless.

I've brought my thinking to the attention of my MP.

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Alway's been about Tightening the Grip!

Bear in mind that you have to pay VAT on all your earnings so if your turnover is say £60000 a year that's £10000 vat owed minus what you can reclaim on fuel garage bills and vehicle purchase so if you are going to buy a new vehicle every year might be worth it if not probably would be worse off

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lack of modern legislation is the iceberg sinking the titanic of the transport sector

Actually the VAT on £50,000 of revenue is £8,334.

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Grandad,

The threshold is the level whereby VAT registration becomes compulsory. Below that threshold it is voluntary. There are some people who will register for VAT just before buying a large asset so that they can claim the VAT back but then after a couple of months, because they are below the de-registering limit, they de- register. I am not sure how the VAT man views this practice though.

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Grandad,