Vat

[flump1]

I am trading as a limited company as I am registered for VAT. Am I allowed to sell an asset (one of the company vehicles) and not charge the customer VAT or does this action fall foul of the taxman. I am trying to sell a vehicle to a customer not registered for VAT and would like advice as to whether I would be liable to charge him or not, any help much appreciated .

[raysparx]

I would say NO, did you claim the vat back when you puchased the van?, although from what i remember of vat even if you buy goods from a company that is not registered and you sell them on you have to charge vat

and if it is a company assett,it belongs to the company and the company is registered,nearly all commercial vehicles carry a vat when sold on.

Why not just give there help line a ring?

[raysparx]

Sorry that should have been YES you should charge Vat.

[dzug]

The fact that your customer is not registered for VAT doesn't mean they do not pay VAT. It means they can neither claim it back nor charge it themselves.

You don't HAVE to charge them but will have to pay it to the VAT man as if you had.

[flump1]

Thanks for the advice ,it is appreciated .

[jedimistress]

I would not treat the disposal of a van as a taxable supply, more of a capital allowance / charge issue. But that is only my opinion. I'm not a qualified accountant.

[Bev2006]

I think youll find second hand goods is non-Vatable?