Thames Water Ltd is registered for VAT and is in the process of completing its VAT return for the quarter ended 31 March 2023. The following information is available, and unless otherwise stated, all the above figures are exclusive of VAT: i. Sales invoices totalling £128,000 were issued in respect of standard rated sales. Thames Water Ltd offers its customers a 2.5% discount for prompt payment, 50% of customers pay early enough to receive this discount. ii. Standard rated expenses amounted to £74,800. This includes £4,200 for entertaining customers. Required: Calculate Thames Water VAT liability for the quarter ended 31 March 2023. State the date the VAT would be payable to HMRC and the date by which the VAT100 return must be filed.
Thames Water Ltd is registered for VAT and is in the process of completing its VAT return for the quarter ended 31 March 2023. The following information is available, and unless otherwise stated, all the above figures are exclusive of VAT: i. Sales invoices totalling £128,000 were issued in respect of standard rated sales. Thames Water Ltd offers its customers a 2.5% discount for prompt payment, 50% of customers pay early enough to receive this discount. ii. Standard rated expenses amounted to £74,800. This includes £4,200 for entertaining customers. Required: Calculate Thames Water VAT liability for the quarter ended 31 March 2023. State the date the VAT would be payable to HMRC and the date by which the VAT100 return must be filed.
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