VAT - delivery/invoice address?
Discussion
We have a customer who says he's on holiday in Germany at the moment, but lives in Australia, and he's asking if he has to pay the 20% VAT on his order.
I am not sure about this, as in my options for the website, I have a choice of either taxing the customer by invoice or billing address. Which one would be correct for a situation like this, does he have to pay the tax because it's being delivered in Germany, or the 'fact' he states he lives in a non EU country mean that he doesn't have to pay?
Cheers,
Chris
I am not sure about this, as in my options for the website, I have a choice of either taxing the customer by invoice or billing address. Which one would be correct for a situation like this, does he have to pay the tax because it's being delivered in Germany, or the 'fact' he states he lives in a non EU country mean that he doesn't have to pay?
Cheers,
Chris
Incorrect.
If your customer is a VAT registered trader in another EU country, you can Zero Rate the invoice as long as you quote your customer's valid VAT number on your invoice.
If the customer is a non-registered individual or entity, you MUST charge VAT at 17.5% (or whatever is appropriate for the nature of the goods supplied).
If your customer is a VAT registered trader in another EU country, you can Zero Rate the invoice as long as you quote your customer's valid VAT number on your invoice.
If the customer is a non-registered individual or entity, you MUST charge VAT at 17.5% (or whatever is appropriate for the nature of the goods supplied).
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