Originally Posted by Phil Bleazey
The problem with buying from a dealer, Taffmog, is that the dealer has to put on 20% VAT and also his mark up. I am not registered for VAT ( too small ) so I can't claim it back in any other way than passing it on to my customer at the end of the project. Maybe my business will grow to the VAT size but I do hope not. I just want to be left alone to do nice things for nice people and their cars - not caught up in the commercial rat race - call me a dreamer!


Surely this isn't true. As I understand it, most car dealers use the second-hand margin scheme, on which they only pay VAT on their margin (or mark-up), not on the whole value of the car which would already have been VAT paid when first registered. The dealer's margin is in this case the perceived "added value".


Giles. Mogless in Paris.