The following information relates to the VAT return of the Super Ltd for the three months to 30 November 2020. All figures are VAT-exclusive unless stated otherwise.

1. (i) Standard rated supplies made to customer were £30,000. A cash discount of 3% was offered to customers who paid within 28 days and customers who bought 50% of the supplies made during the quarter took this discount.
   The figure of £30,000 includes a £3,000 sale, which was made to a customer in September 2020. This customer went bankrupt in November 2020 and had a bad debt of £3,000 was written off in the company’s book on 30th November 2020.

   On 15th November 2020, a customer was invoiced for £4,800 in relation to a sale of standard –rated goods. These goods were paid for on 4th December 2020 and were made available to customers to the customer on 10th December 2020. This sale is NOT included in the above figure of £30,000 and was not eligible for cash discount.

2. (ii) Standard-rated goods bought for resale or consumption cost £9,280. Standard-rate services cost £5,200.

3. (iii) On 1st September 2020,the company was charged VAT of £1,960 on the purchase of motor car with emissions of 140g/km. Private use of this car by one of the employees accounts for 50% of the mileage. Maintenance charges in relation to the car were £280 for the quarter and fuel cost were £520. The company reclaims input tax on all car fuel.

4. (iv) In October 2020, the company bought a new non-current asset for a VAT-inclusive price of £14,100.

** Fuel scale charge for Private motoring is as follow:

Emission Rating (g/km) Fuel scale charge 12-month period Fuel scale charge for 3-month period   Fuel scale charge for 1 month period

140 1,047 261 87

Required:

(a) Compute the VAT payable to (or Repayable by) HMRC for the three months to 30th November 2020.

(b) Explain the main features of the Annual accounting scheme.