whot VAT rate on cord wood

[tim Ber]

whot is the vat rate on hardwood cord to buy in from a local estate for me to cut up and sell for firewood is it 20%

[the village idiot]

whot is the vat rate on hardwood cord to buy in from a local estate for me to cut up and sell for firewood is it 20%

 

Indeed it is. You then put on 5% to the end user, assuming you are VAT registered yourself.

[Justme]

Yes as you are reselling it.

 

If you are VAT registered (and you should be in the firewood game) you sell it with 5% on it.

[Alycidon]

whot is the vat rate on hardwood cord to buy in from a local estate for me to cut up and sell for firewood is it 20%

 

 

Cost is 20% as you are reselling it, sell to an end user and its 5%, sell to a shop whose will then resell then its 20%.

 

A

[tim Ber]

Thanks for replies im not vat registered because i only sell small amount about50pickup loads and normally get wood from local farms and trees we cleared.

[Alycidon]

In that case you sell it without adding VAT. But make sure you keep good records as the firewood industry is being investigated by the tax authorities as a lot of transactions are cash related.

 

But buying in cord you will be charged 20% VAT that you will be unable to reclaim unless you register for VAT.

 

A

[muldonach]

Thanks for replies im not vat registered because i only sell small amount about50pickup loads and normally get wood from local farms and trees we cleared.

 

Firewood is one thing where it is probably a good idea to be VAT registered irrespective of how low your turnover is.

 

All your inputs will have 20% vat on which you can reclaim - but you only have to charge 5% when sellling to end users - and non end users will probably be registered so not bothered by you charging them at 20%

 

Cheers

mac