Invoice

H

Horndon Scaffolding Co

Member
Joined
Feb 3, 2015
Messages
19
Reaction score
0
Hi all,
I have to send an invoice to a customer but it is for extra hire only, do I have to stop any money for tax or can I bill them for the whole amount?
 
The debate on the forum regarding vat on scaffolding is always a hotly argued item. My view point as a QS in scaffolding over many years is that vat should be applied, as the hire and erection of scaffolding is a mixed supply and will always attract vat irrespective of the site's tax status. Are you registered for vat? if you are then someway down the line HMRC will be looking for their 20%.
 
If your VAT registered then it goes on invoices ,
Except new builds which are VAT zero rated but you still have to charge on the materials element which means you have to split the invoice between labour and materials , pain in the backside
 
After a scaffold has been erected and the inclusive hire period that goes with it has ended, I will need to charge for extra hire only, surely I can't charge them for materials and labour again? I'm really trying to find out what the going rate is for extra hire.
 
Example of some details on the quotation letter.

Descriptions: Erection and Dismantle of scaffold and set’s of boards, to form a Heavy Duty scaffold, complete with handrails, toe boards and ladder access as standard.

Dimensions: 4mL x 4mW x 14m H (As per design)


Contract Price Inc 14 Day’s Hire…………………….................................….....S.R. 0,000.00 (your price ?) obviously in sterling
Extra Hire Per Cubic Metre Per Day There after……..................................…S.R. 0.00 (your price ?)
Additional Boarded lifts Extra Hire Per Square Metre Per Day There after…..…S.R. 0.00 (your price ?)


Terms & Conditions: Page 2 # 14. Modifications: (Standby –Waiting Time-Further Modifications)Required on Existing Installed Scaffolds will be deemed additional & extra to contract with SGB Day work Rates Charged Accordingly on a Timesheet Basis.


You decide on your rates to charge (Estimate form)
Dismantling in with erection price
 
Last edited:
Thanks Stella-Fella
what I'm really trying to find out is whether I charge tax (not VAT) on the extra hire or whether I can bank the whole amount. Bearing in mind I'd already charged them 20% labour tax on the original price. It is just the extra hire/rental that I'm unsure about.
 
Looks like you need to bill only for extra hire period. You cant charge labour already priced in. If youve hired in gear,cant be to hard to work out. good luck.
 
We split our invoices into hire and labour, tax gets deducted on the labour element only and we charge VAT on the hire. 5% per week of the total cost of the job is our hire rate!
 
The quick answer is:
If you are charging just for the materials, then this is vatable
If you are charging just for labour, then this non-vatable
If you are charging for both on the same invoice, then they are both vatable
 
You must log in or register to reply here.
Top Bottom