REFUSAL TO PAY VALID CLAIM

King Price contacted us regarding the settlement of the claim as they need to pay out the claim to us in order for us to pay the supplier who is going to fix our truck their client drove into. King Price refuses to pay the VAT on the claim as they want to pay us the amount due to the supplier excluding the VAT and says that we can claim the input VAT we pay to the supplier back from SARS, but not declare VAT on the amount received from them. As per the VAT Act, we need to declare and pay the output VAT on the insurance payout we receive from King Price, therefore King Price needs to pay the including VAT amount which they refuse to.