Friday, February 25, 2011

VAT ???? help needed please??

I sell gift baskets online & from home, I add the vat onto the total on my site, When i sell from home i make out invoices & receipts, but for example,,,,, someone buys my £10 basket, do I add the VAT or have to take it out of the £10. I think it would be abit of a hassle for my customers, they want to give £10 for a £10 basket???? please shed the light a little????
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1. Are you VAT registered??? If not STOP IT RIGHT NOW ITS ILLEGAL. 2. You add it to the sale price. I.e. if your baskets are £10 Net, then you sell them for £11.75 gross. If you are charging for shipping, yu do this: £10 plus £5 shipping is £15 + VAT (£2.63) total invoice: £17.63. You must quote your VAT registration number on any VAT invoice. If you are retailing straight to the public, just sell the damned things for £10 and work out the VAT backwards or jsut advertise at £11.75. You don't see price tags in your high street with VAT missing from them do you now? Only in TRADE establishments not dealing directly with the public.
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