4 ms·
> For most business it’s neutral (apart from the paperwork). Ehhh, I guess it is neutral if your expenses are the same as your revenue. That is no profit. VAT
by the-dude 5y ago
> For most business it’s neutral (apart from the paperwork).
Ehhh, I guess it is neutral if your expenses are the same as your revenue. That is no profit.
VAT is calculcated on 'the value you add'. What you owe is that amount minus the VAT paid on your expenses.
- tonyedgecombe 5y agoIt's neutral up the chain, so if my supplier charges 20% vat then I charge 20% vat it doesn't result in the consumer paying 44% vat.