Priced "plus VAT"
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Discussion

Claudia Skies

Original Poster:

1,098 posts

146 months

Tuesday 6th January 2015
quotequote all
Well it all looked so promising with the Ariel Nomad with hints of pricing sub-£30,000

But what do we get? "From £27,500 plus VAT". So that's "From £33,000" which looks like a lot of cash for the engine/transmission of a Honda Civic tangled up in some steel tubes.

Are there any other car companies out there daft enough to pull this "plus VAT" trick?

Durzel

12,999 posts

198 months

Tuesday 6th January 2015
quotequote all
To be fair they're obliged to show the VAT-inclusive price, and not all of their customers will necessarily be retail...

vtecyo

2,122 posts

159 months

Tuesday 6th January 2015
quotequote all
Don't buy one then.

I would if I could.

Butter Face

35,054 posts

190 months

Tuesday 6th January 2015
quotequote all
It's not a trick really is it?

I imagine they'll sell a lot of them to agricultural users to whom the VAT is an irrelevance really so a +VAT price is justified.

soad

34,704 posts

206 months

Tuesday 6th January 2015
quotequote all
Claudia Skies said:
Are there any other car companies out there daft enough to pull this "plus VAT" trick?
Yes, Ginetta: http://www.ginetta.com/grdc

There will be others too.


Claudia Skies

Original Poster:

1,098 posts

146 months

Tuesday 6th January 2015
quotequote all
Durzel said:
To be fair they're obliged to show the VAT-inclusive price.
Exactly, so that's what IMO should be on the headline level.

Claudia Skies

Original Poster:

1,098 posts

146 months

Tuesday 6th January 2015
quotequote all
Butter Face said:
I imagine they'll sell a lot of them to agricultural users to whom the VAT is an irrelevance really so a +VAT price is justified.
Farmers buy a lot more Land/Range Rovers. Perhaps you can illustrate your point by showing us some "plus VAT" LR advertisements?

marshalla

15,902 posts

231 months

Tuesday 6th January 2015
quotequote all
Claudia Skies said:
Farmers buy a lot more Land/Range Rovers. Perhaps you can illustrate your point by showing us some "plus VAT" LR advertisements?
Like these ? http://www.winston-pincombe.co.uk/manufacturer/lan...

Butter Face

35,054 posts

190 months

Tuesday 6th January 2015
quotequote all
Claudia Skies said:
Butter Face said:
I imagine they'll sell a lot of them to agricultural users to whom the VAT is an irrelevance really so a +VAT price is justified.
Farmers buy a lot more Land/Range Rovers. Perhaps you can illustrate your point by showing us some "plus VAT" LR advertisements?
Why? They may buy them, but they likely can't claim back all of the VAT like they could a commercial/pure off road vehicle. Different vehicles for different purposes.

The same reason that vans are sold +VAT and cars aren't.

McSam

6,753 posts

205 months

Tuesday 6th January 2015
quotequote all
Claudia Skies said:
Butter Face said:
I imagine they'll sell a lot of them to agricultural users to whom the VAT is an irrelevance really so a +VAT price is justified.
Farmers buy a lot more Land/Range Rovers. Perhaps you can illustrate your point by showing us some "plus VAT" LR advertisements?
That's besides the point, the question for the company is what percentage of their buyers will be paying VAT. I would expect that percentage to be very high for Land Rover, with a huge majority of retail customers, and much lower for Ariel with such a specialist product.

Ginetta probably sell most of their cars to race teams rather than individuals, hence their pricing plus VAT.

NRS

26,441 posts

231 months

Tuesday 6th January 2015
quotequote all
Claudia Skies said:
Well it all looked so promising with the Ariel Nomad with hints of pricing sub-£30,000

But what do we get? "From £27,500 plus VAT". So that's "From £33,000" which looks like a lot of cash for the engine/transmission of a Honda Civic tangled up in some steel tubes.

Are there any other car companies out there daft enough to pull this "plus VAT" trick?
I would imagine they have quite a lot of customers abroad, where the tax will vary. So yes, it does make sense. For the larger car companies they will have separate websites for those countries, so will make the price relevant for that one. For Atom they won't, so it's the easiest way for most customers to check quickly.

Marcellus

7,209 posts

249 months

Tuesday 6th January 2015
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Might it be that very few will be sold to "joe public" as the majority will be sold to some form of business?

Troubleatmill

10,210 posts

189 months

Tuesday 6th January 2015
quotequote all
Marcellus said:
Might it be that very few will be sold to "joe public" as the majority will be sold to some form of business?
^ This.
Most of them will likely be sold to track day companies.

GetCarter

31,296 posts

309 months

Tuesday 6th January 2015
quotequote all
All my stuff is sold 'plus VAT' as those who are VAT registered will get the VAT back. The rest get stuffed, unfortunately. Nout' I can do about that.

I need to show how much I charge, not how much I charge and the Gov add on.

Speak to HM Gov. Not me.