VAT SERVICES
(scotland) Limited
  • 0141 636 9353
  • 0141 636 9490
  • 0141 636 9492

At VAT Services (Scotland) Ltd we pride ourselves on delivering results across a wide spectrum of clients.

Our case studies illustrate how we have assisted businesses, charities, accountancy firm clients, property developers, educational establishments and golf clubs steer their way through the complexities of VAT rules and regulations.

These are direct from our client files and provide wide-ranging “live” examples of how our intervention has helped clients optimise their VAT position, train their staff, implement VAT accounting processes and procedures and understand non-standard transactions i.e. the purchase and sale of land and property.

More specifically, we have been brought in to assist clients in the following sectors:

Land and Property

We have assisted numerous clients to ensure they are VAT compliant when undertaking land and property transactions.  In most businesses land and property transactions are not usually part of their normal trading and therefore the possibility of error is greatly increased.

The VAT liability of land and property transactions is exceedingly complex.  The reason for the complexity is that no other area of VAT has the range of different VAT liabilities encountered in land and property transactions.  Land and property transactions can be any of the following: standard rate (20%), reduced rate (5%), zero rate (0%), exempt and outside the scope of VAT.  As land and property transactions are usually high values, the VAT in connection with these transactions can in many instances be a significant sum.  It is important to ensure the correct VAT liability is confirmed at the outset, as errors in some instances cannot be corrected and the resulting financial implications, including penalties and interest, can be costly. 

For case studies on Land and Property please click here


Charities

We advise many charity clients on the VAT issues within both their charity and trading subsidiaries.  The VAT regulations in these entities are different, as one has charitable status and the other does not.  As charities receive grants as well as income from business activities, this leads to many VAT issues on not only the income side (Output Tax – VAT), but also on the expenditure side (Input Tax – VAT).  Almost all charities have business/non-business issues in addition to partial exemption issues.  Charities and their subsidiaries therefore find it difficult to have financial processes and procedures in place that accurately calculate the amount of Output Tax (VAT) due to HMRC on its income and the amount of Input Tax (VAT) it is allowed to recover on its expenditure. This is where our expertise is invaluable.

For case studies on Charities please click here

 

Golf Clubs

We advise over 50 Private Member Clubs (‘PMCs’).  Our work involves ad hoc queries on land and property, assistance with their quarterly partial exemption calculations and their partial exemption annual adjustment calculation.  Since 2008/09 we have also prepared and submitted 37 claims to HMRC seeking repayment of overpaid Output Tax (VAT) on visitor fee income.  The new VAT legislation effective as of 1st January 2015, as a result of the Bridport & West Dorset Golf Club case on visitor fees, and their on-going partial exemption issues result in PMCs seeking our advice on a regular basis.

For case studies on Golf Clubs please click here

 

VAT Reviews

We regularly undertake VAT reviews for clients in different sectors.  These reviews can be prompted as a result of a number of different changes within a business.  These include a proposed sale of a business (pre-sale due diligence), following receipt of a costly VAT assessment, due to rapid expansion of a business (including sales to new markets, EU and non-EU), changes in finance staff and recent acquisition of a new business to augment the existing business.  The above are examples only, and this is not an exhaustive list.

A VAT review is a ‘health check’ on how accurately your business processes VAT transactions and highlights both ‘opportunities’ for savings as well as identifying areas of ‘risk’ where further assistance may be required.   Our methodology is to utilise a very in-depth VAT questionnaire that looks at areas such as the following: relationship with HMRC, sales (to UK, EU and non-EU) - and other specific output VAT issues, purchases (from UK, EU and non-EU), land and property, business and staff entertaining, motor cars and other vehicles, submission and payment of VAT returns, potential cash flow savings, compliance issues with Intrastat and EC Sales Lists (where applicable), restructuring and other transactions, self billing and special schemes.

For case studies on VAT Reviews please click here

 

VAT Training for Staff

Staff training is an integral part of the continuing growth of any business. A wider skills base not only enhances the personal development of an employee but the employer benefits from having more knowledgeable staff.

This is especially so in the field of VAT. With an increased focus on actively managing “VAT risk” and ensuring the business has robust systems and controls, there is a greater onus on individuals within a business to continually develop and broaden their VAT knowledge to meet these requirements.

We provide bespoke training workshops to meet the needs of your staff who have responsibility, or are involved in your business' VAT compliance obligations.  These training workshops assist in minimising errors that can lead to assessments from HMRC and related penalties and interest costs. These training workshops are an opportunity for your staff to discuss VAT issues facing your business on an informal and interactive basis.

For case studies on VAT Training please click here

 

Education

We advise a number of clients in the education sector.  In the last few years we have advised on mergers which have resulted in two new larger colleges being formed.  We closely liaised with HMRC on behalf of these clients to ensure the transition was as smooth as possible.  This is a considerable challenge in this sector as educational establishments have both business and non-business issues and, in many instances, Lennartz adjustments in connection with the construction of new buildings and, in one instance, a new campus. There is also the added complication of preparing a single VAT return from two or more different accounting systems.

Colleges, although they have charitable status, do not receive preferential VAT treatment per se, but there are a number of VAT concessions that they can take advantage of.  These include the possibility of receiving their gas and electricity supplies at the reduced rate of VAT (5%) and also not incurring VAT on advertising costs.  Another area where VAT savings are identified is in connection with printed material i.e. prospectuses and leaflets.

For case studies on Education please click here