Value Added Tax Act
Deferral of value added tax on imported capital goods. (c)Value . Cap. “ company” has the same meaning ascribed to it under . “input tax credit” in relation to a taxable person, means a credit . for the exclusive use of circuits, a leased circuit or a . (c) to the extent not included under paragraph (a). “building”, in the definition of “development”, includes, in relation to .. (b) a person whose supplies of taxable goods or services consist exclusively of— State (other than value-added tax) on the goods and not included in. An Act to consolidate the enactments relating to value added tax, including certain enactments relating to VAT Meaning of acquisition of goods from another member State. Refunds in relation to new means of transport supplied to other member States. . Territories included in references to other member States etc.
In relation to sales by telephone, price indications must be clearly audible and linked to the subject of the transaction. Prices can be shown: If counter catalogues are used there should be sufficient copies for consumers to refer to Pricing information must be available - that is, clearly visible to consumers without them having to ask for assistance in order to see it.
Legibility refers to a consumer with normal sight. Traders must also comply with the Equality Act and take account of the special needs of the elderly and disabled groups.
Goods that are kept out of the consumer's sight are exempt from price marking until an indication is given that they are for sale.
- VAT Notice 701/49: finance
- Distinguishing withholding tax from value added tax
- Domestic reverse charge procedure (VAT Notice 735)
Back to top What about goods in shop windows? Items displayed for sale in a shop window should display pricing information as per the above requirements.
Express Invoice - What is the difference between tax-exclusive and tax-inclusive?
These products need not bear pricing information in close proximity to the item. However, the pricing information must still be given elsewhere - for example, by means of a price list in-store. Window displays that do not contain products that are removed and sold to consumers may be regarded as being purely promotional.
They will fall within the definition of 'advertisement' and be exempt. Traders are advised to contact their local trading standards service for guidance on this matter.
Back to top Can price indications be in a foreign currency? It is a part of the income tax — whether personal or corporate income tax. In contrast, VAT is a different type of tax.
VAT is a consumption tax payable on the goods and services consumed by any person, whether government agencies, business organisations or individuals. Exemption from this is not aimed at agencies, companies or individuals but rather at the goods and services. Therefore, all agencies of government, religious and other organisations and similar persons that are normally exempted from income tax are expected to pay VAT on the goods and services consumed by them except where the goods and services are specifically exempted by law.
Such fees should be subject to withholding tax at source in accordance with Section 63 of the Companies Income Tax Cap 60 LFNand the relevant extra-ordinary Gazette.
The net is then paid over to the issuing house that handled the issue. As consumers of the services rendered by both the issuing houses and other parties to the issue, the issuing companies are liable to the payment of VAT for the services rendered.
What is the difference between tax-exclusive and tax-inclusive?
This refers to the provision of software that allows someone else to give global roaming services Service fee for site to site virtual private networks VPNsvirtual access points APNs for Springboard Apps These are charges infrastructure or connectivity Remote access client VPN connectivity Network or infrastructure fee Signalling Gateway services including CAMEL and SMS -C The provision of managed software platform for mobile service creation In addition the following are also not covered by the reverse charge: Other supplies excluded from the reverse charge Supplies of specified goods or services in the following circumstances are always excluded from the reverse charge procedure: How the reverse charge works The reverse charge only applies to the sale and purchase of the specified goods and services listed in section 3: The de minimis rule for mobile phones and computer chips 6.
In that event, the reverse charge applies to the total value of the mobile phones or computer chips on that invoice. But there are specific circumstances when the total value of individual invoices will determine whether the reverse charge should be applied. This is dealt with in paragraph 6. If an itemised invoice relates to a single supply, for example a computer, which is not subject to the reverse charge, VAT should be charged as normal on the supply, even if some of the itemised components are reverse charge goods.
Study tips: how to calculate VAT
But where a single invoice is issued for a supply, then, as normal, the total VAT-exclusive value of the invoice should be reviewed to determine whether the de minimis applies. But where there are contingent discounts or a delayed reduction in price, use the full value shown on the invoice.
Further information on the definition of these discounts can be found in VAT guide Notice If you make a reverse charge supply 7.
To ensure that the reverse works effectively to prevent the fraud it will be acceptable for the reverse charge to apply to the whole supply. Section 9 gives guidance about the checks you should undertake for this purpose. In such instances VAT should be applied in the normal way. The following examples fulfil the legal requirement: Customer to pay the VAT to HMRC When making a sale to which the reverse charge procedure applies, you must show all the information normally required to be shown on a VAT invoice and must also include a reference on the invoice to make it clear that the reverse charge applies and that your customer is required to account for the VAT.
Unless otherwise agreed with HMRC, the amount of VAT to be accounted for under the reverse charge should be clearly stated on the invoice but should not be included in the amount shown as total VAT charged.
If you produce invoices using an IT system, and that system cannot show the amount to be accounted for under the reverse charge, then the wording should state that VAT is to be accounted for by your customer at the standard rate of VAT, based on the VAT-exclusive selling price for the reverse charge goods or services.
This is subject to the agreement of both parties.