vat reclaimed on purchases prior to registration

claire Registered Posts: 22 Dedicated contributor 🌟 🐵 🌟
I have a sole trader client who became vat registered in september 2007 and obviously on his first vat return we claimed vat for fixed assets that were purchased prior to registration.

I have now come to do his self assessment and I am having a dumb moment with regards to what to do with the vat we claimed for his fixed assets prior to registration.

I am doing his tax return using figures excluding vat on income and expenditure after registration.

The question is with the vat we reclaimed on fixed assets before registration do I show it has an income in box 15 (any other business income) and write a note in box 101 stating that it is vat reclaimed on fixed assets prior to registration or is this totally wrong and I have to do something totally different.

Please help as I am suffering with a cold and my brain as shut down.



  • claudialowe
    claudialowe Registered Posts: 275
    Hi Claire

    I am not sure that I totally understand your question - are you saying that last year you claimed FYA/WDA on the gross value of the asset and now you need to to adjust for the VAT that has reclaimed?

    If so, what I have done in the past is to make a balancing payment on the "overclaimed" CAs and then write down normally.

    If you mean something else, please post again, and I will try and help you.

  • Poodle
    Poodle Registered Posts: 711
    Hi Claire

    Looking at the help sheets for the SA103F I would say that you are correct in your treatment of this income. Box 15 is where you would put any income gained from the Flat rate scheme and so it would follow that this should go there a well.

    You should make a note in the additional information box as well as follows:

    • the date of VAT registration
    • whether you have included VAT in recording income and expenses from that date


  • claire
    claire Registered Posts: 22 Dedicated contributor 🌟 🐵 🌟
    Thanks Poodle

    I thought I was right in thinking this but at the time head full of cold and all that it did not seem to make sense. I did read the help sheet but not as far as the flat rate screen so serves me right for being lazy.

    Once again thanks


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