Chapter 21 - VAT Flashcards
1
Q
What are registered traders able to deduct?
A
Input tax on purchases from VAT they charge customers (output tax) and pay/recover the difference to/from HMRC
2
Q
What are some examples of zero rated supplies?
A
1) Non-Luxury Food
2) Books, newspapers
3) Protective clothing
4) Work on listed buildings being used for residential or charitable use
5) Transport of good & passengers
6) Animal food
7) Exports from UK
8) Sewerage and water
9) New dwellings
10) Childrens clothes and shoes
3
Q
Can traders of exclusively exempt supplies register for VAT or recover input tax?
A
No
4
Q
A
