VAT Issue

[Gibson70]

I have a friend who wishes to lease a car on 'business'

His business is not VAT registered as our findings are usually are from the public sector, i.,e the local authority, not the private sector. So, will he still be eligible to use it under his name as he's registered self-employed?

Advice ?

Thanks

[ModernAndy]

there may be a specific clause in some contracts that you do have to be VAT registered but otherwise they'll be fine. There's plenty of businesses that either aren't VAT registered or are on some scheme where they don't pay or reclaim VAT. That is to say, in this case at least, VAT has essentially no bearing on whether an entity is a business or not. On that note, do also check that the small print doesn't state that the car can only be rented/leased/hired to a ltd form of company which would exclude sole traders.

[Eric Mc]

Gibson70 said:

I have a friend who wishes to lease a car on 'business'

His business is not VAT registered as our findings are usually are from the public sector, i.,e the local authority, not the private sector. So, will he still be eligible to use it under his name as he's registered self-employed?

Advice ?

Thanks

When you say "eligible", are you suggesting some higher authority might stop him?

And what makes you think this is a "VAT Issue"?

[KevinCamaroSS]

I'm a bit confused too. Is he 'self-employed' as a sole trader rather than a limited company?