VAT on B2B services from UK to EU

[PugwasHDJ80]

Anyone know if reverse VAT is still in place?

Neither our Accountant or I are certain... we are currently selling a service to a greek client, usually we wouldn't charge VAT but add it to box 6 of the VAT return, does anyone know for sure?

[Tryke3]

You need to charge vat and that would put you at a disadvantage, happy brexit

[Evoluzione]

Already a thread running in the wrong place - NP&E.

[coletrickle01]

Tryke3 said:

You need to charge vat and that would put you at a disadvantage, happy brexit

I don't think that's right.

For B2B sales the place of supply is where customer is located. If the customer is outside the UK and in business, the supply is outside the scope of UK VAT and so no UK VAT should be charged.

No change, don't charge VAT, put in box 6.

Edited by coletrickle01 on Saturday 9th January 18:27

Edited by coletrickle01 on Saturday 9th January 18:35

[Tryke3]

coletrickle01 said:

I don't think that's right.

For B2B sales the place of supply is where customer is located. If the customer is outside the UK and in business, the supply is outside the scope of UK VAT and so no UK VAT should be charged.

Edited by coletrickle01 on Saturday 9th January 18:27

OP can you let us know the outcome, I'm 99% sure but I am not selling services so there is the slight chance I am wrong

[trickywoo]

There is no reason why it should be any different to the rest of the world pre brexit which has always been no vat.

[coletrickle01]

Tryke3 said:

OP can you let us know the outcome, I'm 99% sure but I am not selling services so there is the slight chance I am wrong

That's an important distinction. Place of supply for B2B services is location of customer. There are different rules for goods.

[Stephanie Plum]

Tryke3 said:

coletrickle01 said:

I don't think that's right.

For B2B sales the place of supply is where customer is located. If the customer is outside the UK and in business, the supply is outside the scope of UK VAT and so no UK VAT should be charged.

Edited by coletrickle01 on Saturday 9th January 18:27

OP can you let us know the outcome, I'm 99% sure but I am not selling services so there is the slight chance I am wrong

No slight chance about it. You’re wrong.

Edited with link: https://www.avalara.com/vatlive/en/vat-news/brexit...

Edited by Stephanie Plum on Sunday 10th January 15:54

[N8CYL]

No VAT. They will pay vat on arrival at Greek borders

[PF62]

PugwasHDJ80 said:

Anyone know if reverse VAT is still in place?

Neither our Accountant or I are certain... we are currently selling a service to a greek client, usually we wouldn't charge VAT but add it to box 6 of the VAT return, does anyone know for sure?

Assuming B2B, it hasn't changed.

If it is a B2B service and not subject to the 'special rules' then your business customer in Greece accounts for the VAT using the reverse charge - www.gov.uk/guidance/vat-place-of-supply-of-service... (which you will notice was updated on 30 December 2020).

As for your accountant not being certain, sheesh, what have they been doing to prepare for the last few months.

[PugwasHDJ80]

PF62 said:

PugwasHDJ80 said:

Anyone know if reverse VAT is still in place?

Neither our Accountant or I are certain... we are currently selling a service to a greek client, usually we wouldn't charge VAT but add it to box 6 of the VAT return, does anyone know for sure?

Assuming B2B, it hasn't changed.

If it is a B2B service and not subject to the 'special rules' then your business customer in Greece accounts for the VAT using the reverse charge - www.gov.uk/guidance/vat-place-of-supply-of-service... (which you will notice was updated on 30 December 2020).

As for your accountant not being certain, sheesh, what have they been doing to prepare for the last few months.

We'd change if we could find a good one who doesn't want the moon, or who doesn't want our first point of contact to be a 22 year old straight out of uni.

[PF62]

PugwasHDJ80 said:

PF62 said:

PugwasHDJ80 said:

Anyone know if reverse VAT is still in place?

Neither our Accountant or I are certain... we are currently selling a service to a greek client, usually we wouldn't charge VAT but add it to box 6 of the VAT return, does anyone know for sure?

Assuming B2B, it hasn't changed.

If it is a B2B service and not subject to the 'special rules' then your business customer in Greece accounts for the VAT using the reverse charge - www.gov.uk/guidance/vat-place-of-supply-of-service... (which you will notice was updated on 30 December 2020).

As for your accountant not being certain, sheesh, what have they been doing to prepare for the last few months.

We'd change if we could find a good one who doesn't want the moon, or who doesn't want our first point of contact to be a 22 year old straight out of uni.

Well the 22 year old straight out of uni might have got themselves up to date on the rules.

[PugwasHDJ80]

PF62 said:

PugwasHDJ80 said:

PF62 said:

PugwasHDJ80 said:

Anyone know if reverse VAT is still in place?

Neither our Accountant or I are certain... we are currently selling a service to a greek client, usually we wouldn't charge VAT but add it to box 6 of the VAT return, does anyone know for sure?

Assuming B2B, it hasn't changed.

If it is a B2B service and not subject to the 'special rules' then your business customer in Greece accounts for the VAT using the reverse charge - www.gov.uk/guidance/vat-place-of-supply-of-service... (which you will notice was updated on 30 December 2020).

As for your accountant not being certain, sheesh, what have they been doing to prepare for the last few months.

We'd change if we could find a good one who doesn't want the moon, or who doesn't want our first point of contact to be a 22 year old straight out of uni.

Well the 22 year old straight out of uni might have got themselves up to date on the rules.

lol that's a good point