VAT rate to charge

galwaydude18

I registered for VAT a few months ago and I have my first private job where I'm supplying the materials and labour.

I'm wondering what rate of VAT do I charge for the job? Is it 13.5% or 21% ?

I usually work as a sub contractor fitting out interiors shops etc. But I don't charge the principal contractor VAT

Bigus

It's not simple get professional advice .

galwaydude18

Bigus wrote: »

It's not simple get professional advice .

Unfortunately my accountant is away on hols and I don't want to be annoying her

galwaydude18

galwaydude18 wrote: »

Unfortunately my accountant is away on hols.

Say the materials cost €600 plus my markup on them then labour another €600 does anyone know what the VAT rate I should be charging on my invoice?

Lenny

If you're doing a job with materials,and it's all going on the same invoice you charge 13.5%
I'd youre just supplying materials or products the vat rate would be 23%
When you buy materials you pay 23% vat as with most products in Ireland, you would be charging them out at 13.5% and you would be due vat rebate

Lenny

Labour €600
Materials €600
Net total €1200
Vat €162
Final bill €1362

galwaydude18

Lenny wrote: »

If you're doing a job with materials,and it's all going on the same invoice you charge 13.5%
I'd youre just supplying materials or products the vat rate would be 23%
When you buy materials you pay 23% vat as with most products in Ireland, you would be charging them out at 13.5% and you would be due vat rebate

So say in my above example materials were €600 plus 30% markup on them then €600 labour I add all that together and then add 13.5% VAT on it?

Avatar MIA

Do a google of the VAT 2/3rds rule.

Lenny

galwaydude18 wrote: »

So say in my above example materials were €600 plus 30% markup on them then €600 labour I add all that together and then add 13.5% VAT on it?

I can't be 100% on that,
Have a read of this,
Have a Google of the 2/3 rule, first hit on askaboutmoney...

Sleeper12

2/3 rule decides what VAT rate you charge.

exaisle

galwaydude18 wrote: »

Say the materials cost €600 plus my markup on them then labour another €600 does anyone know what the VAT rate I should be charging on my invoice?

On that basis you should charge 13.5%.

If you were paying the materials for €600 and you were charging the customer less than €900, (both figures not including VAT), then you would charge 23%.

exaisle

galwaydude18 wrote: »

So say in my above example materials were €600 plus 30% markup on them then €600 labour I add all that together and then add 13.5% VAT on it?

You would invoice €1,380 plus VAT of 13.5% which is €186.30.

Total €1,556.30.

galwaydude18

exaisle wrote: »

You would invoice €1,380 plus VAT of 13.5% which is €186.30.

Total €1,556.30.

Thanks for that. That's exactly what I was wondering

galwaydude18

Thanks everyone! Great advice for all ye sound people :-)