WTk V.A.T. Paying people

[oxidation]

good day want some help in paying some vate here.


like if you buy and item for $10 and you pay vat on that which will be $1.50

so my total bill will be $11.50


now if i sell back that same item at $20 and charge vat on that $ 3.00 total bill is $ 23.00

now when i have to pay inland revenue how much i have to pay

do i take the vat with the markup price ($3.00) and minus the vat i purchased the item for ($1.50) and the remainder ($1.50) jus pay that to inland revenue................

[DTAC]

Knowing Government they'll want both the $1.50 and the $3.00.

[silver racer]

was the item bought and sold in the same period??

if yes, i believe u'll hav 2 pay the difference ie $1.50.

If its not in the same period u'll jus have to file a claim for the specific period in which u incured the payment of vat and the reciept of vat respectively.

[oxidation]

^^^^ yes same period

[MBC Autotronix]

yea u will have to pay the difference.

[masterofmindz]

yep the diff u will pay...

[oxidation]

nice tnx

[brams112]

ok when you buy something,the vat is calculated buy ,,,,,,,,,,,,,,,,,,,,,,,,,,,,ask an accountant nah mamoo,or pass by inland office and ask

[Rooki3]

i know for sure the $1.50, is yours, the $3.00 is their's

[rodfarva]

You reclaim the. 1.50 and pay the 3.

[drunkenscorpion]

lol....some people really sad yes

The amount that you remit is the difference between your input and output VAT. Therefore you only remit $1.50

[Ram]

With VAT you pay the difference:
You purchase the item for $11.50 Vat on item is $1.50, that $1.50 is your VAT INPUT

You sell the item for $23.50 Vat on item is $3.00, that $3.00 is your VAT OUTPUT

What you are liable to pay considering your VAT OUTPUT exceeds your VAT INPUT will be $1.50

hope this helps

[Stephon.]

tl;dr version
You pay the 3 dollars.

[ebonysweetness69]

You can ONLY claim for VAT if Your business is registered (of course it is) and if the item you purchase came from a VAT registered place.
eg: phone cards, if u buy a $20 phone card bmobile, u pay $23 , $3 for vat. But if u buy that phone in a small shop dat is NOT vat registered, u cannot claim for vat.so if u sold an item for $ 40 and charge $6 vat, u will have to pay BIR $6, but if the phone card was purchased in a VAT reg, place, u pay BIR $3.

YOU CAN ONLY CLAIM FOR VAT, FROM VAT REG PLACES ONLY!!!!!! THAT'S THE LAW!

[Rooki3]

^^^ thas pretty obvious, cuz onlt reg VAT places can charge VAT

[ebonysweetness69]

^^^ thas pretty obvious, cuz onlt reg VAT places can charge VAT

I WAS NOT TALKING ABOUT CHARGING VAT, I WAS TALKING ABOUT CLAIMING FOR VAT, A VERRRRRRRRRY BIG DIFFERENCE!!!!!!!!!

[Rooki3]

YOU CAN ONLY CLAIM FOR VAT, FROM VAT REG PLACES ONLY

and only vat registerd businsses can collect vat

you statments were kinda redundant

[Stephon.]

I laughed

[ebonysweetness69]

YOU CAN ONLY CLAIM FOR VAT, FROM VAT REG PLACES ONLY

and only vat registerd businsses can collect vat

you statments were kinda redundant

the nuances of the english language have u very confused. i said claim, not collect.

I was saying that some ppl (in order to pay less VAT to BIR) will include phone cards , etc that came from lil shops that are not VAT reg.
to make things clear to u, if ANSA McAL bought a phone card from TSTT, then ansa can pay less vat to BIR, bcus TSTT is vat reg, but if ansa bought a phone card from lil jenny's shop, the phone card shouldnot be included, bcus lil jenny is not vat reg, therefore ansa pays more VAT to BIR.
I realise u r mixing up claiming for vat & charging vat, to put simply:
Claiming for vat is the amt u pay to BIR
Charging vat is if your gross yearly sales is $250, 000 or more

[Ram]

Allyuh making something so simple seems so complicated

[Rooki3]

Charging vat is if your gross yearly sales is $200, 000 or more

fixed

don't argue me there

[buzz]

ebonysweetness69, can you explain in a little more detail ?

cuz thats a good point

why do i pay VAT on a phone card in a shop that isn't VAT registered ?

i'm new to this so take it slow

[Ram]

You can buy a bmobile phone card from anywhere and it will still carry vat… because TSTT is VAT registered… it does not matter who selling it… what you saying about buying a phone card from “lil Jennyâ€

[Rooki3]

[quote="Ram"]You can buy a bmobile phone card from anywhere and it will still carry vat… because TSTT is VAT registered… it does not matter who selling it… what you saying about buying a phone card from “lil Jennyâ€

[buzz]

So if i buy an item from VAT registered store, can my unregistered VAT business still charge VAT for the said item ?

[Ram]

as i said before.....

Allyuh making something so simple seems so complicated

if you are not into accounts and Trinidad and Tobago Taxes, please don't mislead the people on this forum.

[buzz]

[quote="Rooki3"][quote="Ram"]You can buy a bmobile phone card from anywhere and it will still carry vat… because TSTT is VAT registered… it does not matter who selling it… what you saying about buying a phone card from “lil Jennyâ€

[ebonysweetness69]

[quote="Ram"]You can buy a bmobile phone card from anywhere and it will still carry vat… because TSTT is VAT registered… it does not matter who selling it… what you saying about buying a phone card from “lil Jennyâ€

[ebonysweetness69]

So if i buy an item from VAT registered store, can my unregistered VAT business still charge VAT for the said item ?

sorry, but no, u can't, but u can raise ur selling price

[Ram]

Buzz.. you cannot charge someone VAT if you are not VAT registered.. it's against the LAW of the Land..

Only if your company is making 200K a year and can show proof of that, then you can become VAT registered.
And charge VAT to your Customers