** VAT Health Check **
January 2010 sees compliance changes come into force around VAT. The new reporting requirements and tightening up of the benefit of services rules (who the client/payor of an invoice really is) means that 2010 will kick off with firms having to improve their time and billing processes and ensure records are correct and accurate.
On the positive side, the forecasted return of 17.5% VAT creates an opportunity for firms to provide an effective 2.5% discount to some clients by switching to the work date rather than bill date for VAT taxpoints.
In other compliance matters, authorities are become particularly vigilant of the correct treatment of charges as opposed to true disbursements. Fines are being levied on firms deemed not transparent enough in the way these items are presented on the face of a bill.
Firm’s need to take this opportunity to undertake a full review of their bill templates to ensure all compliances are in place in addition to the above – for example, printing the required reverse charges note on EU invoices, flagging Counsel fees as unpaid and reflecting the GBP values as additional information on foreign currency invoices.
Contact Saturn27 now to book your free health check consultation or to find out more about i-VAT the online web service now before its too late.
