VAt free servicing

[Petra]

I am sure that I read somewhere in a disability magazine that if you bought a vehicle VAT free then the servicing and also tyres would be VAT free too. Does anyone know if this is correct or has had experience of this?

 

 

[Tony Jones]

Our van was zero-rated on account of my mum, and we were told about VAT-free servicing at the time of sale, but when we asked our own main dealer at first-service time no-one had heard of it.

I asked the selling dealer (Roy Woods) who told me that it only works if the servicing garage is also a govt-approved disability converter. So we could have had VAT-free servicing if we'd gone back to them, but on balance we decided to have it done locally and cough up.

[Guest CAB]

I have purchased a number of vehicles with VAT at 0% (not "VAT Free"" - but it amounts to the same at the end of the day!) going back to the VAT and Car Tax days when the process was not so easy as today (over 20 years).

All servicing, repairs, maintenance etc are also zero rated (just replaced the tyres on my vehicle).

It pays to go to the same garage etc and build up a relationship because it's often a hastle explaining to suppliers who are not used to dealing with supplying/servicing vehicles and other aids for the disabled.

 

There is a form you must fill in and hand over with the payment (downloadable from HMRC - see link below) and, in theory, the supplier of the goods/services can ask to see the original 0% VAT invoice for the purchase of the vehicle (although I have never been asked).

 

There are several hoops to jump through and posts in the past have identified dealers who suggest that just about anyone with a "disabled" badge is eleigible - this is not the case.

 

All the information and forms needed can be found on the HMRC site (http://www.hmrc.gov.uk/VAT/sectors/consumers/disabled.htm).

 

Happy to provide more information/advice if needed.

 

Clive

 

Edit

Tony

Have just seen your post. Any VAT registered business can supply the goods/services at 0% VAT. My vehicle is serviced at the local Fiat dealer and (after explaining the first time) there are no longer any problems.

One supplier in the past couldn't bother with the paperwork involved so simply gave a 17.5% discount on the spot.

 

Clive

[Petra]

Thanks for the information. We thought that was the case but unfortunately our dealer is no longer operating. Our local dealer is Discover who just do not want to know. Not even when we tried to buy a new van. 6 calls to get the service department to cooperate for booking a service does not give us much faith but it needs servicing so no option but to keep our fingers crossed.

[Guest CAB]

Go equipped with a printout of the the HMRC regulations, a completed for, and a copy of your original invoice to show that it was zero rated.

f you do pay the VAT I do not believe it is possible to reclaim - so insist on an invoice with 0% VAT.

 

These should get you started..

 

http://customs.hmrc.gov.uk/channelsPortalWebApp/downloadFile?contentID=HMCE_CL_000128

 

http://customs.hmrc.gov.uk/channelsPortalWebApp/channelsPortalWebApp.portal?_nfpb=true&_pageLabel=pageImport_ShowContent&id=HMCE_CL_000128&propertyType=document#P189_11978

 

http://customs.hmrc.gov.uk/channelsPortalWebApp/channelsPortalWebApp.portal?_nfpb=true&_pageLabel=pageLibrary_ShowContent&id=HMCE_CL_000184&propertyType=document

 

(copy/paste the links into a browser if necessary)

 

There is a declaration form to be copied/printed in section 10 of the above.

 

It's a pity that some dealers cannot be bothered to operate this concession - it doesn't cost them a penny and brings in business.

 

I'm not sure what the legal position is - but a quick call to the HMRC helpline may be worthwhile. I have always found them helpful.

 

Good luck.

 

Clive

[Petra]

Thanks Clive

I found the section on the website and have printed it off for them together with the form. As you said they cannot be bothered and it does not cost them anything.