Soldato
OP has already bought the materials.
We chose a builder who seemed to have a good reputation and had the materials delivered to the house for fitting sometime April/May.
He hasn't explicitly said that. The builder may have paid for them.
Yes, the materials are sitting at home all ready to go. Had a word with the company yesterday and they are looking into the invoice date/ VAT requirements.
Very good point.
Shouldn't it also be the case that the builder wasn't able to reclaim the VAT on materials previously, but now can, so that should offset some of the additional VAT he's having to charge.
Eg.
Pre-VAT:
Materials - 5k
Labour - 5k
OP pays 10k.
Builder makes 5k.
Post-VAT:
Materials - 4.2k + 0.8k VAT (rounded)
Labour - 5k + 1k VAT.
OP pays 11k.
Builder makes 5.8k by claiming VAT back on materials.
Personally I'd want someone with lots and lots of experience. Decades personally rather than 4 months which is what this scenario sounds like.
This policy stops any new traders from coming up, though. If we only employ companies who've been around for years we lose the enterprise of the individual and create conglomerates while destroying those who want to work for themselves.
Would you really risk your home, savings on a start up enterprise?
They have their time and place. You want someone well reviewed, experienced and not someone who is going to make mistakes, take twice as long and potentially have the work falling apart in a few years after they have taken the money and ran.
It's about minimising risk.
If an enterprising start up wants my business then give me a deal I cannot refuse. Be substantially cheaper after all your building a reputation if you're in it for the long haul.
I think one of the issues is that the company has being around for a long time, but he did tell me that over the past year he had taken on new staff to create another project team to expand how many jobs they could do. I would imagine this increased revenue and hence VAT registration required.
you agreed a price ..do you have it in writing ? if so thats the price .. last yr we had a full rewiring .. cost £2300 untill i said how much for cash .. £1800 well worth it .. only every other job go's thru the books ..
seems a bit strange to me .. ?
me no .. what someone does with there business is up to them .. i just asked a questionTax evasion. You must be so proud.
me no .. what someone does with there business is up to them .. i just asked a question
exactly this. flea hasn't done anything wrong it's up to the builder to charge and collect VAT not him.
Oh come off it, you'd have to be an absolute idiot to not realise the builder wasn't putting it through the books so you could save a few quid.
This is why i'll be glad when a cashless society exists, it means people like that will have to make an honest living like the rest of us.
So what? It's not his responsibility. It's the traders responsibility. It's him that is vat registered.
Flea technically hasn't done anything wrong. You can't take him to court. It's the trader who has done wrong here and he could be done for tax evasion not flea.