Commercial rent arrears recovery - Warrant of Control
Costs for this service
All fees are payable by the debtor (your tenant). As the Commerical Landlord or Managing Agent, you will only incur VAT charges for the whole recovery process, from start to finish.
payable by the debtor
Serving the Notice of Enforcement - £75 compliance fee
Enforcement Visit - £235 enforcement fee ( plus additional 7.5% on balances over £,1,500)
Taking Control of Goods if rent remains unpaid (after notice period)
Selling of seized goods to settle debt through established Auctioneers
Please note – if the tenant doesn’t pay after enforcement, we reserve the right to invoice the landlord for a minimum of £75 compliance fee + VAT.
Payable by the Landlord
The landlord is only responsible to pay VAT charges.
In the light of the confusion over VAT chargeable on Commercial Rent Arrears Recovery (CRAR) fees following the new Tribunals, Courts & Enforcement Act 2007, we want to clarify the position of who pays this tax.
VAT is chargeable on CRAR as it is a business service, therefore the normal 20% VAT applies. Although the cost of enforcement is borne by the tenant/debtor, the VAT is payable by the organisation or individual that has requested the service.
Sample of costs for Commercial Rent Arrears Recovery (Warrant of Control)
If you have any questions concerning VAT charges on our fees, please speak to our enforcement team on 01785 825 519.