I have been given a quote for some work, which is starting on monday and will be completed in the new year. Most of the work is going to be done in the new year so the decorator has charged 17.5% VAT, but i am paying a deposit before christmas so i was wondering if that should be paid at 15% VAT. In fact should the whole thing not be paid at 15% VAT as the job starts this year.

Kind Thanks
Mary

not to sure to be honest, you would be better just phoning your local tax office and asking them.

does it say that the deposit is +vat or does it say a deposit of XXX amount?

i would say that if you paying him in the new year and as most of the work will be carried out in the new year than the new vat rate would need to be charged.

but it would be well worth a phone to the tax office,

this is the HM Revenue & Customs vat office number off there internet site
0845 010 9000

hope this helps and let us know how you get on

the deposit is merely a downpayment against a future invoice. If the invoice is raised in 2010 then it should carry vat at the highter rate thatis ion place atthe time of invoiceing . However , I would ask him to invoice you separately for the work completed to 31/12 at the lower rate.