A bailiff, an "Enforcement Agent" who is not VAT-registered, cannot reclaim VAT on their fees. Bailiff companies are similarly unable to reclaim VAT from debtors as input tax because an Enforcement Agent is a designated "individual" with a valid certificate, and limited companies cannot operate as enforcement agents.

According to Section 63 of the Tribunals, Courts and Enforcement Act 2007, an enforcement agent must be an individual holding a valid enforcement certificate.

To confirm the bailiff's VAT status, you can either search for their name on the public register of VAT registrants to obtain their VAT number or request that the bailiff present their VAT registration certificate.

Bailiff companies may mistakenly believe they can recover VAT from debtors under Regulation 3 of the Taking Control of Goods (Fees) (Amendment) Regulations 2021.

However, these regulations only apply when the Enforcement Agent, specifically the bailiff, is registered for VAT under Section 3 of the Value Added Tax Act 1994.

If you suspect that a bailiff or a limited company is improperly recovering VAT in connection with enforcement fees, you have the right, under Regulation 16 of the Taking Control of Goods (Fees) Regulations 2014 and Civil Procedure Rule 84.16, to apply for a fee assessment by a judge or High Court Master.

Before initiating your application, it is essential to gather evidence of any documents attempting to recover VAT from you by a bailiff or a company trading as a bailiff, which should include any proof of money flow (bank statements), such as a VAT demand from the bailiff or a company purporting to act under an enforcement power, as well as a screenshot of the bailiff's name from the public register of VAT registrants.

If you believe a company is seeking and obtaining VAT receipts as input tax under the pretence of being an enforcement agent, then you may report them to HMRC for VAT Fraud online.

You are entitled to request that the bailiff company provides a copy of the enforcement agent's VAT registration certificate. If they fail to present this document or assert that they are recovering VAT as a limited company, you should submit their response to HMRC as part of a VAT fraud complaint.

This is because there is no contractual relationship between you and the bailiff company that would create a VAT liability.