Turnover and Commission Fees

[minitici]

I occasionally advertise and sell items on behalf of clients.
I take a commission fee and pass the balance to the client.
I never have title to the items I 'sell'.
I issue an invoice to the client for the commission fee.
Would I be correct in saying that only the commission fee would be included in my turnover, not the full sale price of the item?

[JustinP1]

Yes.

(In a word.)

That is by far the better option if you want to keep below the VAT threshold firstly, and secondly if you take ownership of the goods you will have to charge VAT on the sale if you have to register.

[Wacky Racer]

JustinP1 said:

Yes.

(In a word.)

That is by far the better option if you want to keep below the VAT threshold firstly, and secondly if you take ownership of the goods you will have to charge VAT on the sale if you have to register.

Wot he said........^^^^^^^^^^

[Eric Mc]

As long as title of the goods never passes to you, the way you are doing things is fine.

I would ensure that the people buying the goods are also perfectly clear that you are only acting as an intermediary and ait it obvious to them that they are not buying the goods from you.

[minitici]

Excellent - just what I wanted to hear. Thanks.