vat return first time
i am heading for the 82K thresh hold and would like to know the following.
will i be required to pay the full 12 months VAT immediately?
how can i interpret the 'tax point' with the way i sell my goods?
does HMRC require me to send all the purchase/ sale receipts?
can i deduct the VAT of my running costs if the provider charges VAT?
with regards ***** ***** tax point.
my trade is buying and selling event tickets online.
i may 'sell' a ticket as soon as i have secured them (this means we are bound to the transaction but the money is held by the third party agent). but i may not receive the physical tickets till months later. at which point i will send them to the buyer. i do not receive payment from the third party agent until a few days after the buyer has received them and the buyer is happy. this is the point the sale is completed by the third party agent.
so, what is the tax point?
1. point of sale
2. date sent.
3. date payment received (sale completed)
also, to be sure i register at the correct point. can i deduct losses from my turnover? for example;
If i have 85K in sales, but have received 7K in penalties and fines (deducted from my sales by third party vendor for failure to supply tickets) resulting in me only receiving 78K. Is this my turnover? or is it still 85K?
what about my tax point question?