Symptoms / Summary

Value Added Tax is a matter between the Employer and the Contractor. The Architect/CA is not qualified to assess VAT on behalf of either party, this being the province of HM Revenue and Customs.

The 1998 forms had a supplemental VAT provision whereby the Contractor could declare in advance the rate of VAT applicable to the Contract. The payment forms then allowed an indicative percentage to be calculated for the Client’s information, although it was specifically stated this was not a VAT invoice.

This VAT provision has been removed in the 2005 contracts, so there is no need for the Contract Administrator to advise on the payment form. Consequently the panel on the administration forms has also been removed.