Moneys Received Basis Of Accounting - VAT

Kelter

So according one source you can pay VAT as you receive payment up to a turn over of €1,000,000. According to my accountant, that figure is €100,000. After that you need to pay as you invoice

sorry... just to say I am a consultant dealing only with other VAT paying businesses.

anyone know?

In these times of bad debt and delayed payment this is really important.

dbran

Hi

It is €1,000,000.

Regards

Db

lecheile

Kelter wrote: »

According to my accountant, that figure is €100,000.

Kelter - perhaps your accountant should re-read chapter 12 of the VAT Guide:

12.2 Persons who may opt for moneys received basis

The persons who may opt to account for VAT in this way are:
• VAT-registered persons whose supplies of goods or services are almost exclusively (at least 90%)
made to unregistered persons or to persons who are not entitled to claim a full deduction of the tax
chargeable on the supply to them.This option would apply in practice mainly to retail outlets, public
houses, restaurants, hairdressers and any similar type of business, but could include consultants
doing work for exempt bodies or the State, or
• VAT-registered persons whose annual turnover does not exceed or is not likely to exceed

c1,000,000.
It should be noted that the use of this basis of accounting in no way removes from a VAT-registered
person his or her obligations as regards the issue of invoices, credit notes and other documents, the

maintenance of records, lodgement of returns etc.

Bandara

perhaps you should look at getting a more accurate accountant.

Screw ups on basic stuff like this is not on.

Kelter

Good stuff... Thanks