I think you are confused about what happens. There may be some builders who operate this way giving themselves no margin, but the majority would do something like the following:Secman, if a builder buys materials worth 100 euro inc 21%, and charges labour at 100 euro, so the sub total bill is 200 euro. when they add the 13.5%, so total bill is 227 euro. the builder can claim back 21euro on materials. would it be right to assume that the cilent has paid vat twice on materials?
Correct, thanks - my Mickey Mouse example above should have highlighted that.Don't forget there is a 2/3 law there , if the builder supplies material and the materials come to more than 2/3 of the final cost , he must charge vat @ 21% on everything. It is just another revenue generating exercise for the Revenue commissioners, ther builder does not gain.
Don't forget there is a 2/3 law there , if the builder supplies material and the materials come to more than 2/3 of the final cost , he must charge vat @ 21% on everything. It is just another revenue generating exercise for the Revenue commissioners, ther builder does not gain.
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?