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      2. Transaction and Reporting

      VAT FAQ's

      Find answers to common VAT questions when using Dines

      VAT on Dines


      Welcome to the FAQ’s for VAT on Dines. 

      In this article, we will walk you through all the important details when it comes to VAT on our system. We will answer common questions like how to set the correct VAT rates on your products, why we charge VAT on our fees, and where to find relevant VAT reports for your products.

      PLEASE NOTE: This article is for informational purposes only and should not be taken as legal or financial advice. We recommend consulting with a qualified accountant or tax advisor to ensure you meet your specific VAT obligations.

      Now, without further ado, let’s jump in. 

      Table of Contents

      ∙ Does Dines Charge VAT on my Sales?

      ∙ Where Does VAT Come Into Play?

      ∙ Can I Set VAT Rates on my Products on Dines?

      ∙ Is VAT Included in the Price of my Items?

      ∙ I’m Not VAT Registered - Why am I Being Charged VAT?

      ∙ Can I Reclaim the VAT?

      ∙ Where Can I See VAT Reports?


      Does Dines Charge VAT on My Sales?


      No. We do not charge VAT on your sales, because we aren’t selling anything to your customer. We are simply the platform that facilitates the transaction between you and your customer. 


      You are the seller, which means that if you are VAT registered, it’s up to you (and/or your accountant) to account for VAT in your own records and returns. 


      Where Does VAT Come Into Play?


      Dines is a VAT-registered business. That means we are legally required to charge VAT on the services we provide you, including card processing fees for transactions you take using our system.

       

      This applies whether you are VAT-registered or not. Because we are VAT-registered, the services we provide are classed as taxable under UK VAT law. 


      Can I Set VAT Rates on my Products on Dines?


      Yes. You can apply VAT Rates to specific products via the Dines dashboard. This ensures that your sales and VAT Reports (discussed further below) are accurate. 


      To do this, log in to your Dines account, and choose the “Menu” option on the left-hand panel. This will open up a list of Items you sell, and the Categories you sell them in. 


      At the top of the page, you will now see an “Items” tab. Click here, and then on any Item you wish to update VAT Rates for. If you scroll towards the bottom of the page, you will see a “VAT” section, where you can set VAT Amount on Collection, and VAT Amount on Premise.


      By default, these are set to 20%, but by clicking on the drop-down menu, you can set these to 0%, 5%, 12.5% or 20%. We have options for “Collection” orders and “On Premise” orders because VAT rules can change depending on how the customer receives their order. For more information, please consult HMRC’s guidance on this matter.


      Is VAT Included in the Price of my Items?


      The price you enter in the “Price” field of each Item is the final amount your customer will pay. Whether VAT is included within that amount, or added on top, is up to you and your pricing strategy. Dines does not automatically add or calculate VAT into your item prices, we simply compile a report on what you enter and apply the VAT rate you have selected. 


      If you are unsure how to handle this, we recommend checking with your accountant to ensure your pricing and VAT setup are compliant.


      I’m Not VAT Registered - Why am I Being Charged VAT?


      This is a common question, but a fair one. You are being charged VAT because we (Dines) are VAT registered. By law, VAT-registered businesses must charge VAT on the services they provide. This is no different to being charged for pitch fees, electricity etc by a VAT-registered festival organiser. VAT still applies, even if you can’t reclaim it.


      Can I Reclaim the VAT?


      We’d always advise clients to consult their accountant on this one. Generally, if you are VAT registered, you can reclaim the VAT paid on Dines service fees, as part of your normal VAT return. To help, you can find Invoices on your Dines account by heading to Reports > Invoices, or by clicking here.


      If you aren’t VAT registered, you’ll still be charged VAT on our services because we are VAT registered, but you won’t be able to reclaim it. This is standard across all VAT-registered service providers. 


      Where Can I See VAT Reports?


      You can find several VAT Reports on the Reporting section of our app, or on the web dashboard. Here, you can see a variety of reports and breakdowns to help you with VAT, including; 

        • VAT Report: A summary of VAT collected on sales. 

      • Item Sales by VAT Rate: An overview of item sales broken down by VAT Rate, which excludes Tips, Service Charges, Custom Partial Refunds and other bill-level adjustments.

      • … and many more!


      All of the above have filters to fine-tune your reports to your liking, and can be exported into CSV format. For more information on Dines Reporting, please see our article. 

       

      Please Note: If you are a trader at a festival/event and wish to see Deductions from the organiser, you can find them by heading to Reports > Deductions, or by clicking here. All deductions taken by organisers will include VAT. Please contact the organiser directly for invoices on specific deductions, as we can only supply invoices for our own charges.


      And that’s everything! Thank you for reading through our FAQ’s on VAT. If you have any further questions, please get in touch, as our team are always happy to help. However, please also note that for anything relating to your specific VAT obligations or reclaim eligibility, it’s always best to speak directly with your accountant. They’ll be able to help more than we can on that matter. 


      For anything else, you can reach us via email at care@dines.co.uk, or use our Live Chat and WhatsApp support services by clicking here.