Our company was registered 18th December 2007 and started trading 19th April 2008. We are not yet VAT registered s we understand that we need to be turning over a certain amount before it becomes necessary. We will be registering for VAT before the end of the year. Our question is would we be able to claim the VAT on goods (e.g. drinks, sweets) already sold? The other thing is, we have all our invoices for services used (e.g. flooring, contrators) since 2008, but I read somewhere on the HMRC website that, businesses would need to claim VAT for services within 6 months? If we cannot claim the VAT on goods already sold, and services, are we able to put his down as an expense?
Thank you.
Hello Elizabeth,
My understanding is that no, you cannot claim for goods already sold or for services invoiced more than 6 months ago. However, I am not an expert on this matter - you should check this information with the HMRC advice line on 0845 010 9000.
Even if you cannot reclaim the VAT, you can still enter these transactions into Solar Accounts by setting the VAT Treatment to 'Out of Scope'.
Regards,
