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hi,
i think the tax point for input VAT is the date of invoice received.
but in examer’s artical ‘VAT 1“ ?has an Example 12,On 28 March 2014 Gwen purchased new machinery at a cost of £21,600. She paid for the new machinery on this date, but did not take delivery or receive an invoice until 6 April 2014.(VAT return for quterly end 31/03/14)
the answer is “Gwen can recover the input VAT in respect of the new machinery purchased in the quarter ended 31 March 2014 because the actual tax point was the date that the machinery was paid for.”
thanks!
The basic tax point is the goods are made available. If payment is received or invoice issued before this date then that becomes the tax point. If this early payment/invoice rule does not apply, check to see when the invoice was issued. If it was issued within 14 days of the goods being made available, the invoice date is the tax point.
In you example above, since payment was made before the goods were delivered, the payment date is the tax point – 28 March 14.
Hope this helps.
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