FRS - Late Payment Of Invoice

[T5R+]

Have been asked to leave the Flat Rate Scheme at end of last quarter.

All VAT liabilities upto date - even though using the cash accounting approach..

No invoices to issue in current quarter but an old invoice (less than 6 months old) has now been paid. How do I treat this? Is the VAT liability at 20% or at the hitherto discounted FRS%.

To complicate matters I am charged VAT on eg phone contracts, subscriptions, fees, etc within current quarter THUS do I treat my input VAT at 20%.

Surely cannot deduct output VAT @ FRS from input VAT @ 20% and pay difference?

[Eric Mc]

On what date did you leave the scheme?

[T5R+]

HMRC issued letter in mid Nov 14 to tell me that they were removing me from the FRS, whilst invoice (issued June 14) was paid late Nov.

(Full year ended Oct ie 4 full quarters)

[matty g]

Isn't VAT due on Invoice date NOT Payment date.

I now nothing about FRS just normal VAT accounting

[sgrimshaw]

matty g said:

Isn't VAT due on Invoice date NOT Payment date.

I now nothing about FRS just normal VAT accounting

Then you should know about the VAT cash accounting scheme.

VAT Notice 731

[surveyor]

matty g said:

Isn't VAT due on Invoice date NOT Payment date.

I now nothing about FRS just normal VAT accounting

see above cash accounting scheme...