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Posted Sat, 31 Aug 2024 20:36:46 GMT by Paul F
If you purchase a golf club from a consumer in the UK, can you resell the head and the shaft and apply the VAT margin scheme to both sales? If you can, I would assume you would need to log both shaft and head to the purchase record? Are you able to assign cost to the components up to a total of the purchase cost e.g a 70/30 split?
Posted Thu, 12 Sep 2024 12:12:53 GMT by HMRC Admin 20 Response
Hi,
It could be  possible that the Global Accounting Margin scheme may be applicable.
The Global Accounting Scheme accounts for VAT on the margin between your total eligible purchases and total eligible sales.
The eligibility criteria per guidance mentions you can use the scheme if:
•    buy an eligible item for £500 or more, and the item is made up of several components valued at less than £500, and you sell the component items individually.
More details can be found in relevant VAT Guidance on GOV.UK Using the global accounting VAT margin scheme
Thank you.

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