im sorry but im really consfused as I recently filed my vat return and owed alot of vat to hmrc.
the question i gave was i correct in my answer?
Thank you for your replyPlease advise where you are confused and I will try to help you.I am a qualified accountant in practice and the example I gave you is how you should account for VAT on your VAT returns.
You are not correct to say you pay VAT on profit. You pay the difference between your VAT outputs and VATinputs to VAT office.Many thanks
so on my original exapmple how much vat would i repay?