VAT - Help UK


I need some hep on understanding VAT payments in UK

VAT on booking.com charges

On the invoice there is no charge for VAT but I am sure they should be? Has something changed since Brexit. It does note at the very bottom of it * Not subject to Dutch VAT. Could someone clarify as usually we would be able to claim this VAT back 

VAT on guests payments

This doesn't show up on payment charges, but we automatically apply 20% VAT to all guests payments and pay this monthly as we are VAT registered.

I assume the latter is correct, so its mainly clarifying the VAT on booking.com charge?


Hootananny Hostel 1 year ago

We charge hostel customers a bed-per-night fee including VAT and we pay VAT on that hostel income. Booking.com charges Hootananny Brixton a commission that is based on our bed-per-night fee inclusive of VAT (as a way of “rationally” maximizing its commission – but this effectively is just collecting a multiple of the value of the VAT for itself, though not of course the full 20%). (See www.booking.com/suite_terms.html 9.1.3.) Commission is taken by Booking.com but it seems that Booking.com does not itself charge VAT on the Dutch government’s behalf, and does not pay VAT on that income to the Dutch (or any) government. It follows that no government is collecting VAT from the sums that Booking.com is charging us, and so we can reclaim it from no government.
I'd LOVE someone to disagree with me.