Value Added Tax: Difference between revisions
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imported>Doug Williamson (Mend link.) |
imported>Doug Williamson (Expand definition.) |
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A tax added to the price of many goods and services in many jurisdictions. | A tax added to the price of many goods and services in many jurisdictions. | ||
VAT-registered businesses pay a net amount tax based on the value that they add to the goods and services. | |||
*They account to the revenue authorities for the Output tax they have collected from their customers. | |||
*But they deduct / reclaim the Input tax they have paid to their suppliers. | |||
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* [[FRS 102]] | * [[FRS 102]] | ||
* [[Indirect tax]] | * [[Indirect tax]] | ||
* [[Input tax]] | |||
* [[Lower rated]] | * [[Lower rated]] | ||
* [[Output tax]] | * [[Output tax]] | ||
Revision as of 02:35, 15 July 2021
Tax - indirect tax.
(VAT).
A tax added to the price of many goods and services in many jurisdictions.
VAT-registered businesses pay a net amount tax based on the value that they add to the goods and services.
- They account to the revenue authorities for the Output tax they have collected from their customers.
- But they deduct / reclaim the Input tax they have paid to their suppliers.
Relevant UK accounting standards include Section 29 and Section 23 of FRS 102.
