VAT

Discussion in 'Motorhome Chat' started by laser101uk, Sep 24, 2013.

  1. laser101uk

    laser101uk Funster

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    I assume I am correct that if I were to buy a brand new motorhome from a dealer for say 40,000 that 8000 of this would be VAT. Does the same apply to second hand motorhomes from a dealer? for example, if I bought a secondhand motorhome for 20,000 is 4000 VAT?

    cheers

    Steve
     
  2. buttons

    buttons Funster

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    Yes but not if you purchase it privately. I think:BigGrin: See....http://www.hmrc.gov.uk/vat/sectors/motors/selling-cars.htm
     
    Last edited: Sep 24, 2013
  3. Jim

    Jim Ringleader

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    On used vehicles I thought they only paid VAT on the profit made, happy to be corrected though as I'm not 100% sure I'm right.
     
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  4. camocam1

    camocam1 Read Only Funster

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    as far as I'm aware there is no VAT on sales of second have NON Commercial vehicles, is a motorhome a commercial vehicle as log book says light goods vehicle ???
     
  5. vwalan

    vwalan Funster

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    there is vat on the differance between buying and selling orice . same as cars . but its not shown in the price . its hidden .
     
  6. eddievanbitz

    eddievanbitz Trader - Funster

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    The VAT on a £40,000 van is £6,664 (£33,336 + £6,664 =£40,000)

    VAT is applied on the profit made between buying and selling unless the original VAT element is still present.

    Tesco's buy a motorhome and use it for six months as a staff room, then sell it to Morrisons the VAT element is still active as both have paid it and claimed it back from HMRC

    Morrisons then sell it to Mr Smith and Mr Smith just pays a final figure and at that point the VAT becomes invisible.

    Similar to a disabled person buying a motorhome ex VAT when they sell it, it is simply sold for the correct going rate.

    I have always wondered why the VAT doesn't have to be paid back when the motorhome is sold though?

    Eddie
     
  7. SC 05 OUT

    SC 05 OUT Funster

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