Is a mortgage brokers services VAT exempt?

jo1983

Would a mortgage advisor's services be vat exempt? and if so can he register for VAT and reclaim vat on purchases?

They do have some services that they are charged vat on, the invoices state 'the tax shown is your output tax due to hmrc'

A new client is vat registered and he has just asked if he is right to be registered. I think yes based on above as some services are vatable? Can anyone confirm please?

douglasstroud

Normally financial services are exempt from VAT however there are certain services that may not be exempt, best to read up on the VAT notice, if this is the case with your client then they will be ‘partially exempt’ and will have to do the calculations to submit their VAT return which can be quite complicated.