If I have asked for a VAT invoice ....?

Question

I own a caravan on a Parkdean site. The site fees are about £2500 plus VAT. The company has just written to us asking for £2800 odd inclusive of VAT but the amount they say is net, plus their VAT doesn't work out at 17.5 %. I am guessing that some items that they are charging for are zero rated. The thing is, it is on a letter, not an invoice, they haven't quoted their VAT number, there is no invoice number and no breakdown on what each item that they are charging for comes to with what rate of VAT. I asked for a VAT invoice back in September which hasn't been provided, so I contacted them again today to ask for a VAT invoice. I am supposed to pay this bill by the end of December. Am I within my rights to refuse to pay until I am provided with a proper VAT invoice? Or due to the fact that I signed a contract saying that I agree to pay the service charge every year mean I have no right to request a VAT invoice? I thought it was illegal to write to someone asking for x plus VAT unless they give you a VAT number and breakdown of net plus VAT.

Answer 1

Yes, they should send you an invoice with an invoice number, the VAT number and an analysis of the total cost, net cost and VAT. If you're disputing the bill amount, you don't have to pay it, but your contract with the caravan site should explain what consequences there are for your late payment of bills.



I'm the caravan site can sort this out easily by sending you the VAT invoice you've asked for. Keep a record of all telephone calls and letters you send/receive on this subject, just in case. You could also contact the Inland Revenue to get advice (search for 'VAT'). It's a really useful website for all sorts of info about the laws and regulations in the UK.

Answer 2

You are within your rights to ask for a VAT invoice. This is simply because there are 2 parts to the charge levied on you: the service they provided costing £2500, and the VAT they need to account for. If they don't break it down, they wont be able to enforce the debt.

Answer 3

No. They have no legal right to do this. At the time of your transaction they were NOT vat registered and therefore could not legally charge you vat. As THEY should have been vat registered they may have to pay an assessed amount to the tax man - that is their responsibilty, not yours.