Share this content
0
6
5861

VAT when supplying service in UK but billing EU customer

My company is registered in the UK. It will be carrying out services in the UK, but will be invoicing a company registered in Southern Ireland.

Should I charge VAT on the services we are providing?

Thanks

Replies

Please login or register to join the discussion.

It depends...

... on what services you're providing.

Thanks (1)
avatar
By squay
05th Mar 2012 13:30

EU Business to Business

You are both vat registered so when invoicing a business in another EU member state you are required to zero rate the supply. On your invoice you must show the customer's vat number and state that the supply is subject to the reverse charge rules.

At the end of the month you must complete an EU sales listing return for that month but this can be done online. This EUSL applies to both goods and services.

The customer on receipt of your invoice must deal with the vat under the rules of the member state they are registered in. It is not your concern.

The information on EU sales listing you submit is shared between all EU member states for policing businesses in their own member state. There is guidance on the HMRC VAT website.

Thanks (0)

Has...

... the OP decided to go with the (potentially) wrong answer, rather than advise what the services are?

Thanks (0)
avatar
05th Mar 2012 16:54

The service is maintaining and upgrading telecoms equipment,

Thanks (0)

Then...

... you're either providing services related to land situated in the UK or telecommunication services effectively used and enjoyed in the UK, both of which are UK supplies, subject to UK VAT. IMHO.

Thanks (0)
avatar
05th Mar 2012 21:07

Indeed, sloppy answer from squay not even checking what the services are before suggesting that the general rule applies.

You can read more about the place of supply here.  The general rule (described by squay) only applies if none of the items in the section "Special rules for place of supply" are applicable.  George seems to have hit the nail on the head.

Thanks (0)