Hi. My husband is a self employed electrician and works mostly in the commercial sector. When he needs materials for a job he buys them from the supplier and usually pays outright (or on account paid at the end of the month). He pays the 23%VAT to the supplier.
When we send invoices to the client we add 13.5% to the labour charge and all the materials bought are listed and charged at 23% Vat (I take the information directly from the receipt).
One of his clients has just told him he should be charging them 13.5% VAT on the materials aswell and then claiming the rest back from revenue.
I can't get in touch with our accountant and can't find anything about this online. I could be searching incorrectly though.
Can anyone point me in the right direction?
Thanks very much!