EG... Not VAT registered, I would charge the customer £120 + £100 labour = £220. VAT registered,Part is £100 plus Vat = £120. I have to pay the merchant £120. This i would charge the customer. Do i add a further 20% for VAT again?
EG £120 (parts) + £100 Labour + VAT = £266
Or is it £100 + £100 Labour + VAT = £240?