# VAT on selling used commercial vehicle



## monstie (23 May 2010)

Hi everyone,

I was wondering if anyone could tell me how vat works when selling on second hand van.
I purchased the van for 30000 plus vat a few years back. I got finance for the full amount  through a finance company and they in turn paid the garage the 30000 plus vat. I reclaimed the vat on each payment i made until now. Now i am selling on the van. Now my question is: If i sell the van on for say 10000, is that 10000 inclusive of vat as i already paid vat on the whole amount or do i charge 10000 plus vat and pay the vat to revenue? I hope this makes some sort of sense

Any help would be much appreciated


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## jack2009 (23 May 2010)

sell the van for as much as you can and 21 percent of that will be vat inclusive.


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## nolo77 (23 May 2010)

jack2009 said:


> sell the van for as much as you can and 21 percent of that will be vat inclusive.


. 

Jack2009 is correct. Whatever you get for it will be inclusive of 21% VAT


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## Joe_90 (24 May 2010)

monstie said:


> Hi everyone,
> 
> Now i am selling on the van. Now my question is: If i sell the van on for say 10000, is that 10000 inclusive of vat as i already paid vat on the whole amount or do i charge 10000 plus vat and pay the vat to revenue?


 
If you recovered the VAT on each payment you have a lease with the finance company.  
Have you finished paying the lease?  
If so have you settled the lease or entered into a secondary leasing period?  
If you are as a VAT registered business selling the van to another VAT registered business and the value of the van is €10,000, then the VAT is added to this amount as the VAT is not a cost to the purchaser.


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