Skip to main content

Longer new year's eve parties thanks to VAT rate change

Spare a thought for the pubs and clubs that will remain open beyond midnight on 31 December when the VAT rate reverts to 17.5%.

Will it be necessary to issue two VAT invoices? One charging VAT at 15% for goods and services provided before midnight and another at 17.5% for those provided later into the night after the rate changes? Can you imagine the mayhem - and the unwelcome sight of barmen running around trying to issue valid VAT invoices mid-party?

It seems that the Government wants to avoid spoiling parties in this way as the Financial Secretary to the Treasury announced in May that:

"HMRC will allow a few hours’ trading grace in which [pubs and clubs] may continue charging the 15 per cent. rate for a session that goes into the early hours of 1 January."

So expect some parties to continue well into the morning of New Year's day. If you attend one, do sing a vote of thanks to the Government for giving you an excuse to party longer.

And what chance the necessary VAT rate changes will be made correctly later when everyone's suffering from their hangovers? Ok, maybe it won't be so much fun after all.

My thanks to Mike Thexton for drawing this to my attention.

I wrote a more serious piece about the VAT nightmare before Xmas, that is now looming, shortly after the VAT rate changes were announced.
Post a Comment

Popular posts from this blog

How many accountants does it take to change a light bulb?

How many accountants does it take to change a light bulb?




How many would you like it to be?

How many accountants does it take to change a light bulb?




What kind of answer did you have in mind?

How many accountants does it take to change a light bulb?



Hmmm....let me run a few numbers and get back to you....

How many accountants does it take to change a light bulb?



Two. One to change it and one to make sure it was done within budget

And lastly, my favourite:

How many accountants does it take to change a light bulb?



One, but he'll have 1500 of them to do on 31st January.

(This response was suggested by Adrian Higgs)

Are you a prostitute or are you an auditor?

1. You work very odd hours.

2. You are paid a lot of money to keep your client happy.

3. You are paid well but your pimp gets most of the money.

4. You spend a majority of your time in a hotel room.

5. You charge by the hour but your time can be extended.

6. You are not proud of what you do.

7. Creating fantasies for your clients is rewarded.

8. It's difficult to have a family.

9. You have no job satisfaction.

10. If a client beats you up, the pimp just sends you to another client.

11. You are embarrassed to tell people what you do for a living.

12. People ask you, "What do you do?" and you can't explain it.

13. Your client pays for your hotel room plus your hourly rate.

14. Your client always wants to know how much you charge and what they get for the money.

15. Your pimp drives nice cars like Mercedes or Jaguars.

16. Your pimp encourages drinking and you become addicted to drugs to ease the pain of it all.

17. You know the pimp is charging more than you are worth but if the client…

Ken Dodd and the Inland Revenue

The comedian Ken Dodd, was prosecuted for tax evasion in 1989 as has been mentioned on this blog before, here and here. I'd love to find a clip of him talking about it in his act. For now though here are a couple of references to comments he makes about the experience.

He is known to introduce himself as a “failed accountant”. That, he explains, is simply to establish a rapport with the audience. “People today are all stressed out about home economics, and accountants are the current bogeymen. [Since when?]

Dodd is the butt of a lot of his material and repeated references are made to his love of money, his dislike of what he insists on calling the Inland Revenue and his past run-in with them. “They sent me a self-assessment form the other day. To me! I invented self-assessment.”

During the trial it was revealed that Dodd had very little money in his bank account. He did however have £336,000 in cash stashed in suitcases in his attic. When asked by the judge, "What does a…