MyLtd (contracted with) MyClient (chosen partner of) ABigOrg (provides consultancy to) TheirCustomerCo.
Expenses are occurred because of travel etc. Which are eventually paid by TheirCustomerCo. But I have to put them in my invoice to MyClient.
Since I am on FRS for VAT, I am out of pocket 14.5% from expenses (which sometimes could be £100s).
What's the right way to sort this out?
Accountant says, simply add 20% VAT on expenses too.
PS I have to separately send over expenses receipt and details.
Expenses are occurred because of travel etc. Which are eventually paid by TheirCustomerCo. But I have to put them in my invoice to MyClient.
Since I am on FRS for VAT, I am out of pocket 14.5% from expenses (which sometimes could be £100s).
What's the right way to sort this out?
Accountant says, simply add 20% VAT on expenses too.
PS I have to separately send over expenses receipt and details.
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