UK COMPANY - VAT INVOICE TO QATAR
UK COMPANY - VAT INVOICE TO QATAR
Author
Discussion

m3sye

Original Poster:

26,231 posts

232 months

Friday 8th January 2016
quotequote all
Hi guys, quick one,

Does a VAT reg UK company charge VAT still when invoicing a company in Qatar?

Eric Mc

125,830 posts

296 months

Friday 8th January 2016
quotequote all

Is it for goods or services?

Is it "Business to Business" or "Buswiness to Person"?

m3sye

Original Poster:

26,231 posts

232 months

Friday 8th January 2016
quotequote all
Eric Mc said:
Is it for goods or services?

Is it "Business to Business" or "Buswiness to Person"?
Business 2 Business Eric

sgrimshaw

7,587 posts

281 months

Friday 8th January 2016
quotequote all
If it's for the supply of goods then you need to consider where the point of supply was - For example, if you shipped them to Qatar then the supply is zero rated.

With services, then you need to consider where "the customer belongs", again if this is Qatar then the supply will be zero rated.

m3sye

Original Poster:

26,231 posts

232 months

Monday 11th January 2016
quotequote all
sgrimshaw said:
If it's for the supply of goods then you need to consider where the point of supply was - For example, if you shipped them to Qatar then the supply is zero rated.

With services, then you need to consider where "the customer belongs", again if this is Qatar then the supply will be zero rated.
Thank you smile

sumo69

2,164 posts

251 months

Tuesday 12th January 2016
quotequote all
sgrimshaw said:
If it's for the supply of goods then you need to consider where the point of supply was - For example, if you shipped them to Qatar then the supply is zero rated.

With services, then you need to consider where "the customer belongs", again if this is Qatar then the supply will be zero rated.
Are you sure they are zero rated? I would think non-EC would be "beyond the scope of VAT charge" which has the same effect on the sale but may cause issues with recoverability of any input tax??

David

sgrimshaw

7,587 posts

281 months

Tuesday 12th January 2016
quotequote all
sumo69 said:
Are you sure they are zero rated? I would think non-EC would be "beyond the scope of VAT charge" which has the same effect on the sale but may cause issues with recoverability of any input tax??

David
For goods - (given evidence of export) it's zero rated.

For services - you are right, it would be out of scope.

m3sye

Original Poster:

26,231 posts

232 months

Tuesday 12th January 2016
quotequote all
Its for opted in data - people who have requested a call regarding a product they have given their details for on facebook... (expat pension)

sgrimshaw

7,587 posts

281 months

Tuesday 12th January 2016
quotequote all
What's the invoice actually for?

A physical product which you ship to them?

Electronic information?

Your services?

In reality, there is unlikley to be any reason for the invoice to have VAT at 20% on it ... the only distinction is whether you should be showing VAT at zero percent or no VAT at all.


m3sye

Original Poster:

26,231 posts

232 months

Tuesday 12th January 2016
quotequote all
sgrimshaw said:
What's the invoice actually for?

A physical product which you ship to them?

Electronic information?

Your services?

In reality, there is unlikley to be any reason for the invoice to have VAT at 20% on it ... the only distinction is whether you should be showing VAT at zero percent or no VAT at all.
Electronic information to be used in Qatar

trickywoo

14,264 posts

261 months

Tuesday 12th January 2016
quotequote all
VAT is such a crappy tax.

B2B (VAT registered) should be exempt as its just a merry go round at best and a vehicle for fraud at worst.

sgrimshaw

7,587 posts

281 months

Tuesday 12th January 2016
quotequote all
m3sye said:
Electronic information to be used in Qatar
According to Para 23 of Vat Notice 741a https://www.gov.uk/government/publications/vat-not...

"...the customer is outside the EC and receives a B2B supply of services ..... the services are not used and enjoyed in the EC the services are outside the scope of UK and EC VAT."