Selling House

[smurfchops]

If I sell my house for £500,000 and agents commission is, say, 1% , what is their commission, and what is the total with VAT please?  

[ladybirder]

£5,000.  But I don't know what VAT is at the mo.

[ToraToraTora]

1% is £5000 x 1.2 = £6000 assuming VAT at 20%

[Ellipsis]

The contract should say whether it's 1% including VAT; or 1% plus VAT. 

Including VAT, the total would be £5000, of which the commission would be £4166.67 and the VAT would be £833.33.

Plus VAT, the total would be £6000, of which the commission would be £5000 and the VAT would be £1000.

[smurfchops]

Thanks everyone.