In order to exercise your basic right to recover the VAT on them, you must hold a valid VAT invoice.
However, in the absence of such an invoice, you may still be able to make a claim for the VAT, but these claims are at HMRC’s discretion. According to a HMRC Statement of Practice, they will look for alternative evidence where there is no valid VAT invoice, such as:
- Alternative documents, such as a supplier’s statement, purchase orders, etc
- Evidence of the receipt of the goods/ services, such as delivery notes
- Payment records
- Records of onward sales or consumption of the goods/ services
You should also be able to prove the existence of the supplier, by say having their VAT number.
The above list is not exhaustive and just to reiterate, accepting a claim for VAT where there is no valid VAT invoice is at HMRC’s discretion.
If you would like any assistance with your bookkeeping or VAT affairs, please feel free to contact your local TaxAssist Accountant who would be happy to help.
By Jo Nockels
Disclaimer: Advice shared in this blog is intended to inform rather than advise. Taxpayer's circumstances do vary and if you feel that the information provided is beneficial it is important that you contact us before implementation. If you take, or do not take action as a result of reading this forum, before receiving our written endorsement, we will accept no responsibility for any financial loss incurred.