VAT Flate Rate Scheme and Adsense/Amazon/Ebay Revenue

[highlander]

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I need to fill out my first VAT return under the flat rate scheme and I am not sure how Adsense/Amazon and Ebay revenues are treated on some of the return.

I understand they are 'Outside the scope of UK VAT' and so are not included in box 1 or box 6 of the return.

What am I not sure about is whether they should be included in Box 8 of the VAT return. Can anyone help?

[hrbs]

I need to fill out my first VAT return under the flat rate scheme and I am not sure how Adsense/Amazon and Ebay revenues are treated on some of the return.

I understand they are 'Outside the scope of UK VAT' and so are not included in box 1 or box 6 of the return.

What am I not sure about is whether they should be included in Box 8 of the VAT return. Can anyone help?

Hi

As you are on the flat rate scheme, non UK income is not included on your VAT return at all.
Make sure you are calculating the flat rate VAT on the gross income (i.e. including VAT) and not the net amount.

The VAT rate changed in the last quarter, so you need to match the correct flat rate percentage to the VAT rate used in the network's payment to you.

i.e. if the network paid you with 17.5% VAT, the flat rate is 10%, if they paid with 20% VAT , the flat rate is 11%. (Presuming you registered for the flat rate scheme using the advertising sector percentage).

If you are in the first year of VAT registration, you can take a 1% discount off the flat rate percentage.

If the return is your first VAT return since registering for VAT you can reclaim input VAT on equipment you are using for the business and some services purchased in the 6 months prior to registration.

HMRC's guide is at HM Revenue & Customs: Purchases made before VAT registration .

As a general note, box 8 is for goods only.

Regards

Keith
HRBS.biz

[isad]

Hi,
What about the ebay and Amazon fees do these need to be included and how if on the VAT flat rate scheme.