Hello,
I recently started contracting for a big company which is allowed to deal only with other companies and not with individuals or employees.
I was asked to setup my own LTD company or go for umbrella company.
I decided to setup my own LTD company and we agreed on the contract daily rate.
Also, we have exchanged our VAT numbers and the I started my work.
After my first month I issued my first invoice of a sum of days + 23% of VAT.
The invoice was accepted but the client has paid only NET amount.
My VAT figure was completely ignored.
I have re-issued my invoice and pointed out that the VAT value have not been paid but the accounting team remains silent...
I went through the contract and there is not even a word mentioned about VAT
Daily rate value doesn't say anything if it includes VAT or does not.
Could someone tell me why the client would not pay the VAT amount?
I recently started contracting for a big company which is allowed to deal only with other companies and not with individuals or employees.
I was asked to setup my own LTD company or go for umbrella company.
I decided to setup my own LTD company and we agreed on the contract daily rate.
Also, we have exchanged our VAT numbers and the I started my work.
After my first month I issued my first invoice of a sum of days + 23% of VAT.
The invoice was accepted but the client has paid only NET amount.
My VAT figure was completely ignored.
I have re-issued my invoice and pointed out that the VAT value have not been paid but the accounting team remains silent...
I went through the contract and there is not even a word mentioned about VAT
Daily rate value doesn't say anything if it includes VAT or does not.
Could someone tell me why the client would not pay the VAT amount?