Tax planning - Value Added Tax (VAT)
VAT is a straightforward tax except when it arises in the context of the disposal of property or the assignment of a leasehold interest.
In such situations, careful planning is required to ensure that the VAT consequences of the proposed transaction have been properly thought out in advance.
Also, for normal business operations, there may be possibilities to review the operation of Vat with a view to planning ahead and ensuring that no additional liabilities would arise if a vat audit occurs.
Experience shows that VAT is often the most significant tax cost issue for many businesses. Revenue investigations and Revenue audits of VAT compliance often result in large settlements payable.
We provide VAT planning services on a wide range of issues which include:
• VAT on all property transactions including leases
• VAT on imports/exports of goods or services
• Applying the correct rate of VAT
• Ensuring you maximise recovery VAT on expenditure
• VAT legislation relating to specific sectors including financial services.
We also assist in the filing of the VAT returns if needed.
Improvements to Cash Flow: businesses should consider switching from accounting for VAT on an invoice basis to a cash receipts basis.
Other VAT issues
Budget & Jobs initiative 2011
VAT issues are complex in property transactions. Taking advice early will ensure that VAT is properly calculated and the scope for savings is identified.
It is also important that clients have systems in place to ensure they can be VAT compliant in a cost-effective manner.
