VAT Rates Services vs Goods

E

Elcato

Guest
Can someone please confirm that VAT rate for services is 12% and for goods it's 21% ? If this is the case, why do solicitors charge 21% VAT on their services when looking after the legal process of selling/buying a house ? Also, mortgage brokers seem to charge 21% VAT on their services. Is this correct ? I'm sure there's a simple explanation for this but just a thought.
 
The 21% VAT rate applies to most services (and practically to all professional services) apart from a limited range of services (most notably construction, hairdressing etc) that are rated at 13.5%. There is no specific VAT rate for services as opposed to sales of goods, manufacturing etc.
 
I would have thought that services to procure specifally mortgages were not VAT'able. On the basis that commissions paid to brokers are in themselves VAT free.
 
Re: VAT Rates Services & Goods

This is the [broken link removed] link to the vat rate on 2,500 goods and services. It might be of interest to somebody.

Marion :hat
 
Re: VAT Rates Services & Goods

Great link Marion and as expected the explanation is simple and above board.
thanks all
 
Re: VAT Rates Services & Goods

Elcato
Maybe you work for the Revenue, but if you think VAT is 'simple' well then thats fine. Actually it is far from straight forward.

What exactly do you mean by 'above board'?
 
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