Vat registered companies.... how do you stay competitive

[Jonny69]

2 hours ago, inthewoods said:

Why should businesses be (as I see it) penalised for doing well? Or does it work for most of you! 

The only reason tiny businesses have been left alone is because its not worth chasing. In reality you may as well make every business go VAT registered from the start and everyone is on the same page. This would probably cost more to implement than they would ever recover from it, as small non VAT registered business make up such a tiny amount of money its irrelevant. We do some work for businesses that have a daily VAT bill probably more than everyone on this forum combined in a year.

 

If you are a SE plasterer, tiler or similar then I can understand being labour only, not having many overheads and no employees it being a benefit not having to deal with vat. Also makes paperwork marginally easier. 

 

On a side not. Turnover has no relevance to how well a business is doing. So it's more "penalising" a business for turning over more money. 

[Woodworks]

On 24/08/2018 at 19:59, LeeGray said:

Worse is how many times you put those receipts through the washing machine in your pockets and think ‘f**k that’s a tenner down the swanny!’

Get a fuel card.  You get a monthly receipt online. Saved me a fortune in lost receipts. 

[LeeGray]

2 hours ago, Woodworks said:

Get a fuel card.  You get a monthly receipt online. Saved me a fortune in lost receipts. 

They are handy but we had a fuel card solutions one for about 5 years and in the end they were about 3ppl dearer than the pump. Who are you with, is the price competitive?

[Woodworks]

1 hour ago, LeeGray said:

They are handy but we had a fuel card solutions one for about 5 years and in the end they were about 3ppl dearer than the pump. Who are you with, is the price competitive?

Texaco. Same price as advertised plus points which equates to a 1% discount.

[LeeGray]

5 minutes ago, Woodworks said:

Texaco. Same price as advertised plus points which equates to a 1% discount.

That’s a good deal, can you use in supermarket fuel station?

[Woodworks]

2 minutes ago, LeeGray said:

That’s a good deal, can you use in supermarket fuel station?

No it's Texaco only but never risked supermarket fuel anyway. 

[skyhuck]

On 22/08/2018 at 13:18, treevolution said:

The flat rate is not worth doing anymore since the rate moved from 10.5% to 16.5% of your turnover.

 

 

You must run a very small or very strange tree business if your costs are less than 2% of turnover or £1000 per year?

[treevolution]

Sorry you lost me.

 

I just found that I'm better off not being on the flat rate anymore since they changed the rate you could be on.

 

 

[skyhuck]

11 minutes ago, treevolution said:

Sorry you lost me.

 

I just found that I'm better off not being on the flat rate anymore since they changed the rate you could be on.

 

 

The change in rate you  quoted is only for businesses that have costs of under 2% of turnover or less than £1000 per annum.

[treevolution]

4 minutes ago, skyhuck said:

The change in rate you  quoted is only for businesses that have costs of under 2% of turnover or less than £1000 per annum.

You have to be a limited cost trader to stay at 10.5% which I am not and you will find that most trees firms will also not qualify unless they buy in materials for fencing or landscaping jobs.

 

What is a limited cost trader?

Limited cost traders are defined as one whose gross expenditure on relevant goods is either:

Less than 2% of their VAT inclusive turnover or

Greater than 2% of their VAT inclusive turnover but less than £1,000 per year

The figure should not include the cost of the following items:

Food and drink for the business or its staff

Capital expenditure

Vehicles and fuel