Buying a business is an aspect of VAT which gives rise to a lot of disputes between HMRC and taxpayers, as well as between buyers and sellers of a business.
Buying a business
Buying a business including VAT? If you are about to buy a business and the seller wants to charge VAT on the sale price, beware! You may not be able to recover the VAT charged. Please consult with us before you sign the contract.
There are many ways in which a deal can be structured. If we are involved from an early stage, we can advise on the most efficient structure from a VAT perspective and ensure that VAT costs are kept to a minimum.
Transfer of a going concern
The legislation is complicated. Despite this, on deals the VAT treatment is often assumed, much to the cost of one or other party. Taking early advice can save time and cost for both parties.