[John Kelly]

Splitting the business into 2 with one in the wifes name is a no go if the wife isn't actually doing the work. This would be seen as evasion.
However as mentioned already, having a limited company whereby you are classed as an employee and also having a seperate business as a sole trader which is under the vat threshold is perfectly legal.

[Mike Halliday]

carpet guy is always going on about curing every back problem known to man : : so probably has a business which is health/medical  orientated or perhaps a nursing home, these are exempt from VAT

 

[carpet guy]

Thought I'd made that clear, often enough. We have a Care agency and we employ about 18 regular staff. We include cleaning activities within the business and yes I'm a qualified Pelvic / Spinal Correction Therapist, something your average Osteo', or Chiro isn't trained to do.

[*paul_moss]

Rob
Have you also got a carpet and upholstery business, or is your cleaning soley down to in house work within the agencies buildings?

[carpet guy]

Paul, I started in1983 with a cleaning business, looking after "common areas  in " New Build " and Restored Properties, which grew very quickly and out of this evolved, carpet / upholsery and window cleaning.

Over the past 5 years I've been cutting back steadily on workload and have been concentrating more on leather, which I've done for 20 years and dropping commercial work, or " heavy " works.

We also do " environmental cleans " for social services.

[*paul_moss]

Rob would you email me, I would be interested on your thoughts regarding enviromental cleans.

[murky]

I am bailing out of the VAT.

Last quarter cost me £1100.00 with little or no benefit, my accountant keeps saying stay in you are better off.

Cant see it.  Just getting in front and then whap!!!  VAT to pay and little or no benefit from it.

Sorry I'm out.

Murky

[maxcarpets]

But if you've charged VAT it shouldnt of actually cost you £1100?

[mark shannon]

I BREAK EVEN WITH VAT AFTER PAYING ACCOUNTANT. Feel like an unpaid tax collector.

[garyj]

I BREAK EVEN WITH VAT AFTER PAYING ACCOUNTANT. Feel like an unpaid tax collector.

That's is exactly what we are!! Wait till you start employing people and you're taxing them, taking NI off them AND you are paying NI for them as well. All three are detailed out separately then you bung the whole lot on the same cheque because it's all the same thing to go into a huge pot somewhere. Most probably to finance something you don't agree with.

If your accountant is advising you to stay VAT registered and you disagree go and see another one and see what they have to say. If they both say the same thing then you should follow the advice, it's what they're for!

[Ian Gourlay]

Paul, I started in1983 with a cleaning business, looking after "common areas  in " New Build " and Restored Properties, which grew very quickly and out of this evolved, carpet / upholsery and window cleaning.

Over the past 5 years I've been cutting back steadily on workload and have been concentrating more on leather, which I've done for 20 years and dropping commercial work, or " heavy " works.

We also do " environmental cleans " for social services.

What are envvironmental cleans is this the same as trauma cleans

[Doctor Carpet (Ret'd)]

I am bailing out of the VAT.

Last quarter cost me £1100.00 with little or no benefit, my accountant keeps saying stay in you are better off.

Cant see it.  Just getting in front and then whap!!!  VAT to pay and little or no benefit from it.

Sorry I'm out.

Murky

Murky

If you are above the VAT threshold £64000 then you have no option but to stay in.

If you are below the threshold then why on earth are you registered in the first place. We have little or no input VAT to claim back in this business.

Is your accountant chartered or simply a gloried bookkeeper?

Roger

[carpet guy]

Ian

Some enviro' cleans are like trauma cleans, without the blood, we do get some blood and when this is the case, the charges go up, to allow for the cleaning of machines, dumping of clothing, etc.

[liahona]

Rob, interesting comment about raising prices for the cleaning of machines.

I am all for raising prices as you know but I have done some pretty gruesome crime scenes in my day and the norm would not entail using a machine. Not one that needs any more cleaning than it shold be having anyway.   Under all circumstances  extraction machines shouldnt be used for this type of work so again was wondering what machines that you use that would need cleaning?  By the time the machines come into play the "contaminate" should have already been removed. To charge more for the job itself, then fine, but to charge for what doesnt need doing I find odd.

As to the VAT.  I registered for VAT before I had even cleaned a carpet.  If you are in business for yourself I dont know of a good reason why you wouldnt be registered. 

Best, Dave.

[Joe H]

With my "simple" hat on today -
if I was doing commercial work most of the time it would probably be beneficial to be VAT registered.
but
if I was doing mostly domestic, why would I want to charge the customer an extra 17.5% and be at a disadvantage to my competitors who did not charge VAT.
(I know being VAT regd allows you to recoup VAT on business purchases so there are advantages)

[carpet guy]

Thought I'd posted a reply to this, but it's not showing.

Dave

Two points..................if your business is VAT exempt, why would you wish to add an unnecessary expense and additional accountancy costs if you don't have to.

You always find something "odd" about my posts, particularly if they contain the following ....CFR, or Bonnet Mopping.

Don't think I mentioned Crime Scene cleaning anywhere

[liahona]

Rob, you mentioned trauma which is the same thing.  You also mentioned blood and charging more for cleaning the machines accordingly.  I only asked what machines you were using.  I didnt mention cfr or bonnet sytems. you did.  Again just curious what machines you are using to clean up blood when you shouldnt be using a machine.  I know we clean up some sort of blood from time to time, many times un knowingly but you were refering to a blood clean up. 

Wasnt a difficult question so why the avoidance?

Best, Dave.

[maxcarpets]

If you are earning a good living from CC why would you be VAT exempt? you have to be turning over at least £64K to have a good (ish) living

Justin

[carpet guy]

Dave

Why should I not be using a machine to clear up residue from blood ?

What difference would it make, if the machine being used was an Extracta, Ninja, or other, they would still require more cleaning after that kind of job, than an average clean.

[liahona]

Rob, when you are dealing with specifically blood clean up the blood is or should be physically removed.

 If it is in a carpet then the carpet area contaminated is cut out and then bagged and then disposed of, if through the underlay then the same thing.  If it is furniture then the same procedure should be followed.

No machines are used as machines themselves  exhaust into the ambient air that which has been picked up causing more contamination.   

There isnt a machine that can be used to cause total removal which is why it is done as I have mentioned above. 

If you or we are just cleaning a carpet that has blood in which happens daily I am sure then just normal cleaning is fine.  But then, do you clean your machines every day or after every clean?     Nor do I.

Simply and I know it isnt done, if we as cleaners are asked for total blood removal then a machine isnt used. 

Hey, charge 200 quid if you want to for having to wear nitrile or latex gloves, thats justified, its just not justifiable to charge for cleaning a machine when it shouldnt have been used to be contaminated itself.

Best, Dave.