Selling a piece of equipment.... charge vat or not?

[benedmonds]

6 hours ago, Mick Dempsey said:

Just bang on the VAT, someone will have it anyway and it won’t cost you anything.

If you are selling to a VAT registered company they won't care. 

[Mick Dempsey]

I think Chris thinks this is probably going to appeal to a private individual rather than a company.

 

Having bought plant in both situations, if the seller just dismisses the idea of not charging VAT you tend to just nod your head and stump it up.

 

[donnk]

22 hours ago, Mick Dempsey said:

If you are VAT registered and you sell an item you must charge VAT.

 

I did as you hope to with a chipper, ended up paying the vat out of my own pocket afterwards.

this is 100% incorrect.

 

if you  have been charged VAT on the original purchase of the equipment then you'll have to charge VAT on any subsequent sale. 

If you're selling second hand equipment you bought previously, then no VAT is charged on the sale. However, VAT will be due on the margin if you sell it at a profit. 

 

Dont be caught up with VAT fraud, HMRC have more power than the rozzers.

Edited August 28, 2021 by donnk

[Mick Dempsey]

2 minutes ago, donnk said:

this is 100% incorrect.

 

if you  have been charged VAT on the original purchase of the equipment then you'll have to charge VAT on any subsequent sale. 

If you're selling second hand equipment you bought previously, then no VAT is charged on the sale. However, VAT will be due on the margin if you sell it at a profit. 

Not 100% 

I did end up paying the VAT out of my own pocket!

[donnk]

if there was no vat on the original purchase invoice you cannot then charge it.

 

Just ring up the vat helpline they will tell you the same.