I look after a few road freight businesses and I have a question about congestion charges incurred by truck and van drivers. These are generally VAT exempt. However, in passing on the costs to the customers, I think a VAT registered driver ought to include VAT on whatever he or she has paid for congestion or emission zone charges. After all, these are recharges not disbursements.
Its not exempt is it? Its outside scope. Who provided what to whom, ie who does the vat charge relate to, as that answers the question. Its clearly a recharge. Ive not given statutory link as you have not asked. Now could you take a look and provide an answer to my only question so far on this forum re employees expenses?