vat on exports

Provide the customer with a VAT invoice and keep copies of these invoices. The value of sales to each customer, along with their VAT numbers, need to be submitted to HMRC quarterly via an EC Sales List. Otherwise, they’ll give you a customs dispatch pack receipt copy. From 1 January 2021, new rules and rates on exports will come into effect to reflect Britain’s post-Brexit relationship with the EU. You may also have to account for acquisition VAT in that country, and so have to register there. This means that sales to customers outside of the EU can be zero-rated. To increase the productivity of VAT, the Government enacted the Value Added Tax and Supplementary Duty Act of 2012. But you’ll have to complete an Intrastat Supplementary Declaration if your sales to EU customers are more than £250,000 worth of goods in a year. We’ll send you a link to a feedback form. While this article is not about VAT on imports, if you do find yourself in this situation when filing your VAT return, as described in section 5.2 of the same notice, you simply include in the relevant boxes the: Top Tip: Filing your VAT return isn’t always straightforward. Brexit means... changes to the VAT rules for imports and exports. In these cases, VAT is charged and due in the country of import and you don't need to declare any VAT as an exporter. The dispatch pack goes with the goods. You can zero rate sales of goods for export to private customers if you meet the conditions for commercial exports, or the conditions of the VAT Retail Export Scheme. For example, if you run a small building company that is hired to work on a home restoration project by an ex-pat living in France, your invoice would need to include the total amount for your work + 20%. Tide is not a bank, the Tide current account is an e-money account provided by Prepay Solutions (PPS), a trading name of Prepay Technologies Ltd which is an electronic money institution authorised by the Financial Conduct Authority under the Electronic Money Regulations 2011 (FRN 900010) for the issuing of electronic money. In practice, this is reflected on paper by shifting the normal rules of responsibility for charging VAT from the seller (you) to the buyer (your customer), making you void of any VAT responsibilities in regards to the sale. Details of contact addresses and other useful information provided by the VAT authorities in other member states can be found on the European Commission website. As B2B sales to EU countries are considered outside of the scope of UK VAT, you don’t need to charge any VAT on behalf of HMRC in regards to them as long as the reverse charge applies. With zero-rate, any sales will still need to be reported on your VAT Return. You zero-rate VAT on goods exported to VAT-registered people within the EU. You must keep all the evidence for 6 years and show it to HMRC if they ask to see it. As Helen sells €45,000 worth of t-shirts each year, she has to register for VAT in Ireland and charge customers the local rate of 23%. The following is based on an assumption the exporting company is VAT registered and that the annual exports to the EU are under £250,000 in value which is below the current Intrastat threshold. You do not have to register for VAT to import goods, but obviously if you do not register you will not be able to claim back any VAT you pay. If you use the National Export System, you’ll automatically get an electronic Goods Departed Message when the goods leave the UK, and this is acceptable official evidence. You should also keep proof of goods leaving the UK. 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