Dealer error. Advice required please
Discussion
Back in December I placed an order for a new diesel van, (automatic / factory order).
Today I went to see another dealer to test drive and try and do a deal on an electric model of the same van, which retails for a couple of grand more than the diesel model.
When it came to discussing price, the figures were a shock. And then I realised why. The dealer whom I have placed an order with for the diesel model hasn’t included VAT. It’s in the very, very small print of the manufacturers build configurator that VAT isn’t included. I don’t think this has been done out of malice or him trying to pull a fast one. It was close of business when we did the deal and we were both moaning about how tired we were.
Only a token deposit was left at that time, (£250).
My question is, when the dealer of the diesel van realised his mistake, what’s the likely outcome?
I’m guessing he’ll just be giving me my money back, plus maybe an extra £50 as a good-will gesture?
The problem is, since I placed the order, the manufacturer has bumped their prices up by 10%, which now makes getting a replacement even more expensive.
TL:DR Dealer forgot to add VAT. Where do I stand?
Today I went to see another dealer to test drive and try and do a deal on an electric model of the same van, which retails for a couple of grand more than the diesel model.
When it came to discussing price, the figures were a shock. And then I realised why. The dealer whom I have placed an order with for the diesel model hasn’t included VAT. It’s in the very, very small print of the manufacturers build configurator that VAT isn’t included. I don’t think this has been done out of malice or him trying to pull a fast one. It was close of business when we did the deal and we were both moaning about how tired we were.
Only a token deposit was left at that time, (£250).
My question is, when the dealer of the diesel van realised his mistake, what’s the likely outcome?
I’m guessing he’ll just be giving me my money back, plus maybe an extra £50 as a good-will gesture?
The problem is, since I placed the order, the manufacturer has bumped their prices up by 10%, which now makes getting a replacement even more expensive.
TL:DR Dealer forgot to add VAT. Where do I stand?
David-p5d5m said:
Are you saying he gave you an invoice/ quote that stated the total price includes VAT but accidentally forgot to add the VAT on?
If not, it doesn't really sound like he made a mistake. He just didn't include VAT
I’ve had a look at the sales agreement he emailed me, and the agreed OTR price is missing the addition of VAT on the vehicle. If not, it doesn't really sound like he made a mistake. He just didn't include VAT
At the time the deal was done, the salesman asked me if I was VAT registered, to which I replied ‘no’.
k you for only having 1 customer. If you're buying a new van, maybe it's time to be VAT registered?
You charge your customer VAT but they claim it back so don't care.
Disclaimer, I'm no longer VAT registered, doubtless it's not so simple any more DYOR.
But nearly all vans are advertised as a trade price, VAT to be added. Used vans from small firms say 'no VAT' or 'private sale' and are the exception.
As IR35 has gone full circle, it must be time for HMRC to have another go at 'self employed' vanmen with only one customer.
You charge your customer VAT but they claim it back so don't care.
Disclaimer, I'm no longer VAT registered, doubtless it's not so simple any more DYOR.
But nearly all vans are advertised as a trade price, VAT to be added. Used vans from small firms say 'no VAT' or 'private sale' and are the exception.
As IR35 has gone full circle, it must be time for HMRC to have another go at 'self employed' vanmen with only one customer.
105.4 said:
My question is, when the dealer of the diesel van realised his mistake, what’s the likely outcome?
I’m guessing he’ll just be giving me my money back, plus maybe an extra £50 as a good-will gesture?
It's doubtful whether the dealer thinks he's made a mistake. He may think you have.I’m guessing he’ll just be giving me my money back, plus maybe an extra £50 as a good-will gesture?
He'll probably allow you to back out of the order if there's a waiting list for these vans (which seems likely) but an 'good-will gesture' seems unlikely.
105.4 said:
Dan W. said:
You need to speak to the dealer about it.
The Longer you leave it the more annoying it will be when the deal is cancelled because of an error.
That was the plan for this afternoon when I’ve got a few minutes. I just wanted to canvass opinion here first.The Longer you leave it the more annoying it will be when the deal is cancelled because of an error.
Thanks all
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