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bigduckontax, Accountant
Category: Tax
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Summary: Limited company incorporated in July 2019, offering

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Good evening,
Limited company incorporated in July 2019, offering transport services/packages delivery to warehouses, 2 vans purchased through finance by the director, not by the company.
Being a newly formed company, the director did not manage to secure finance through his company, so the contract agreements are on the director’s name.
The vans are the main source of income for the company and they are being used 100% for business.
The company wants to register for VAT.Question:
Is it possible to reclaim VAT for the 2 purchased vans, repairs and petrol as the contracts are on director’s name only but the vans are 100% used only for business?Thank you.
JA: Have you talked to a tax professional about this?
Customer: No That's why I am here :)
JA: Anything else you want the Accountant to know before I connect you?
Customer: No, thank you.

Hello, I am one of the experts on Just Answer and pleased to be able to help you with your question.

The director has loaned the company money to obtain the vans. On registration for VAT, for any expenditure before registration, input tax can be reclaimed.

Customer: replied 1 year ago.
Hello, thank you for your reply. What is unclear for me it the fact that the purchase agreements are on the director’s name, not on company’s name, even the purpose of the purchase was only to create company’s turnover.
The name is ***** ***** me.
The legal owner of the vans is the director, not the entity.
Can the Vat be reclaimed by the company in this situation?
Thank you so much.

Get the invoices altered to include the company's name eg.

A P Snooks'

Better Building Co Ltd

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