Latest Article from Andrew Eldridge Financial Services, published in COURIER NEWS and social media. 3 September 2019
UK courier’s gift £19 billion VAT windfall to government.
You are entitled to reclaim all the VAT you have spent in running your business as a self-employed courier. If you are not VAT registered, you are parting with thousands of pounds of your own hard-earned cash to contribute to this windfall.
Based on official figures in 2019 the UK’s self-employed courier workforce numbers 5 million. Sources from director level at one of the UK’s leading courier companies have their self-employed workforce being only 20-25% VAT registered.
My business offers a specialised service to register couriers for VAT and on average they reap rewards of £4500-5000 per annum. If these numbers remain true across the whole industry it means couriers are gifting the government in the region of £19 billion.
Why would 75-80% of couriers do this? It would seem there are several factors.
I believe courier companies themselves could do more to inform their new recruits regarding the benefits of VAT registration. After all, it is in a courier company’s own interests. It can see its self-employed workforce earning several thousands more without it costing them or doing a thing.
A lot of accounting firms and tax professionals would not see self-employed couriers as a high value client base. Preferring to deal with Finance Officers and CEO’s of larger companies and charging large fees.
Some answers I’ve heard from couriers themselves when asked why they weren’t VAT registered,
“I want nothing to do with the tax man”
“It’s too much hassle”
“I know nothing about tax”
“Didn’t know I could”
“Never got around to it”
Thinking any of these things is costing you thousands of pounds. Being a self-employed courier can be a great life but to make it pay, you need to take advantage of every opportunity.
We have structured our services so it will cost you nothing.
You only pay our fee from the VAT we have generated for you. And that is guaranteed!
Just send us your invoices and receipts at the end of the month and we do the rest. Lean back and start planning your next holiday.
Andrew Eldridge Financial Services
7 High St, Tingrith
Milton Keynes, MK17 9EH
01525 872297 / 07974579309
Specialist provider to the courier industry, across the UK