½Û×ÓÊÓƵ

Retail schemes ― overview

Produced by a Tolley Value Added Tax expert
Value Added Tax
Guidance

Retail schemes ― overview

Produced by a Tolley Value Added Tax expert
Value Added Tax
Guidance
imgtext

This guidance note provides an overview of the VAT retail schemes.

See also De Voil Indirect Tax V3.551–V3.576.

What are the retail schemes?

Retail schemes are intended to be used by businesses that cannot be expected to use the normal invoice accounting rules for supplies made (it would be impractical for a retailer to issue a tax invoice for every sale made). The scheme can only be used for retail sales. Retail schemes are usually used for low value supplies that are made to significant number of customers. If a business makes retail and non-retail sales, it will be expected to be able to identify both types of supply in order to account for VAT in the normal way on any non-retail supplies made.

Sales to other VAT registered customers should not be included in the a retail scheme, unless these are occasional cash sales, provided by businesses who may supply goods to VAT registered customers, such as garages and DIY stores.

There are various types of schemes in operation, which can be categorised

Continue reading the full document
To gain access to additional expert tax guidance, workflow tools, and tax research, register for a free trial of Tolley+â„¢
Powered by

Popular Articles

Company cars

Company carsIntroductionCompany cars are one of the most common taxable benefits. The rules for calculating the benefit are complex, and the reporting requirements are more onerous than most benefits. Company cars are covered by very specific legislation. Detailed guidance on each of the following

14 Jul 2020 11:15 | Produced by Tolley Read more Read more

Class 4 national insurance contributions

Class 4 national insurance contributionsWhat is Class 4 NIC?Class 2 and Class 4 national insurance contributions (NIC) are paid by self-employed individuals and partners in a partnership on their profits arising within the UK. This guidance note considers Class 4 contributions. For Class 2

14 Jul 2020 11:13 | Produced by Tolley Read more Read more

Qualifying charitable donations

Qualifying charitable donationsCompanies can obtain corporation tax relief for qualifying payments or certain transfers of assets to charity under the qualifying charitable donations regime. Definition of qualifying charitable donationThe definition of ‘qualifying charitable donations’

14 Jul 2020 13:03 | Produced by Tolley Read more Read more