Unit 7 - Expenses Claims

System
System Posts: 100,534 🤖 Admin 🤖
edited June 18 in AAT student discussion
I'm distance learning and am having trouble with a question on VAT.

Basically 3 items on an expenses claim, none of which have receipts, a public telephone & 2 car parking charges. Gross £6, £18 & £30 respectively.

Why is the VAT element of the £6 & £18 reclaimed and not the £30?

I thought if there was no VAT receipt you couldn't claim?

Comments

  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Unit 7 - Expenses Claims

    Are there anymore details other than that which would make the £30 different from the other two?
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Unit 7 - Expenses Claims

    I do not know if the following is of any interest to you. It is taken from the HMRC VAT regulations:

    19.7.5 Other circumstances

    If you are treating as input tax the VAT on goods or services supplied to you:

    (b) you do not need a VAT invoice for some types of supply if your total expenditure for each taxable supply was £25 or less (including VAT). You must be sure that the supplier was registered for VAT. If in doubt, check with our National Advice Service. This applies to:

    telephone calls from public or private telephones;
    purchases through coin-operated machines;
    car-park charges (on-street parking meters are not subject to VAT); and
    a single or return toll charge

    Good luck
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Unit 7 - Expenses Claims

    Thanks Pauls that seems to make some sense. I figured there had to be a limit to it but the tutorial doesn't mention anything about it.

    I appreciate your help.
    Scoob

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