Vat charging ??

[Paddy D]

Hi , i am a sole trader and will be vat registered soon, question is

If i buy a product at €121.5 inc vat (100 plus 21.5%)

And i wish to put on a €15 margin

Do i add my vat to €115 (100ex vat plus margin) or to €135.5 (100 plus vat plus margin) ??

Thanks

 

[jasconius]

In my book Paddy, I would exclude purchase Vat from the calculations:
So selling price would be (100+15) x 1.1215 = 139.73

Keep your receipts which should ideally have your name on them