Do I get vat refunded?

[onthegreen]

Hi all,

It might be too basic but I can't find an answer anywhere.

I have a Ltd Co which has a contract with my employer - no agency. I am the sole director and employee of the company.

I, as the employee, has incurred on a expense of 150 plus vat, i.e, 180 out of my pocket.

I have billed to my employer 150 plus vat, 180.

My company has been paid 180, 150 plus vat.

This is question, I understand out of those 180, 30 (the vat portion) will go straight away to the HM and 150 to be paid to me as an employee. If this is correct, I, as an employee, would be losing 30. right?

I am under the flat bar scheme so the 30 vat won't be gone in full but let's leave this aside.

Thanks!

[GlenW]

Are you trying to claim money per comma?

[onthegreen]

All are whole numbers. Commas are there for the text to be more understandable

[Scruff]

Just claim £180 back from your company. In future use your company debit card to pay for company expenses.

[tractor]

...

Are you trying to claim money per comma?

Per misinterpretation I would guess.

I suggest you first understand the relationship between your company, yourself and your company's client before trying to understand VAT and expenses. That will enable you to phrase your question properly

Really, I am serious.

[onthegreen]

Just claim £180 back from your company. In future use your company debit card to pay for company expenses.

And in that case would my company have to pay 30 to HM or it just act as a middleman and there is no tax on the part?

[onthegreen]

Per misinterpretation I would guess.

I suggest you first understand the relationship between your company, yourself and your company's client before trying to understand VAT and expenses. That will enable you to phrase your question properly

Really, I am serious.

Is there anything that you have not understood? I can re-explain if there is something not clear.

Thanks

[tractor]

...

Hi all,

It might be too basic but I can't find an answer anywhere.

I have a Ltd Co which has a contract with my employer company's client - no agency. I am the sole director and employee of the company.

I, as the employee, has incurred on a expense of 150 plus vat, i.e, 180 out of my pocket.

I have billed to my employer client 150 plus vat, 180.

My company has been paid 180, 150 plus vat.

This is question, I understand out of those 180, 30 (the vat portion) will go straight away to the HM and 150 to be paid to me as an employee. If this is correct, I, as an employee, would be losing 30. right?

I am under the flat bar scheme so the 30 vat won't be gone in full but let's leave this aside.

Thanks!

I think that I am right here, so let me save you the trouble...might seem pedantic to you but you could be in a world of hurt if you really don't understand it.

[onthegreen]

I think that I am right here, so let me save you the trouble...might seem pedantic to you but you could be in a world of hurt if you really don't understand it.

I am the employee of my ltd company who is the service provider to the client company.

I (employee) pay an expense out of my pocket. 150 + 30 vat = 180

My ltd company raises a bill to the client of 150 + 30 vat =180 and get it paid

The question is, what and how comes down from my ltd co bank account to my personal bank account.

Hope it is clearer now.

Thanks

[jamesbrown]

Per misinterpretation I would guess.

I suggest you first understand the relationship between your company, yourself and your company's client before trying to understand VAT and expenses. That will enable you to phrase your question properly

Really, I am serious.

+1, the question is a mess on several levels. OP, by "employer", you presumably mean client, and by "employee", you presumably mean office holder? Anyway, you first need to understand the distinction between billing your client and claiming expenses from YourCo, which are two separate activities. In terms of VAT, I think your confusion - not uncommon - relates to what your invoice represents. You are billing for services, which attract VAT. You are not claiming expenses as an "employee" of your client (I would hope not, for a host of other reasons). Thus, you charge VAT on the invoice total for services provided, which may include expenses that originally incurred VAT (assuming your contract allows you to re-bill these).