Barristers' expenses

We act for a number of barristers' chambers. In one case the chambers expenses are all collected by the head of chambers under an arrangement with HMRC that ensures that only the VAT-exclusive amount is paid by the barristers (all VAT-registered) to the head of chambers.

We have been asked by one of the junior members whether she can join the flat-rate scheme while this arrangement is in place.

Having considered this we wonder whether the scheme discriminates against certain barristers because some are often charged directly a fee by their clerk (on which VAT is payable) whereas others employ their clerk.

Readers' thoughts are welcomed.

Query 17 142 - Barry

Reply from Neil Warren author Tolley's VAT Planning 2007/08.

It is common practice for a head of chambers (or other nominated person) to be invoiced for all the costs of chambers; e.g. office services...