A UK limited company with registered office in UK has Spanish shareholders and directors. The operate their company from Spain and provide IT services to Spanish customers (B2B).
If they breach the UK VAT registration threshold, do they need to register for VAT in the UK or should they be registering in Spain and complying with Spanish VAT rules?
Thanks in advance.
Replies (4)
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Why would a company that is not making any supplies in the UK breach the UK VAT registration threshold?
Have you also considered the possibility that the company probably is not UK resident for Corporation Tax purposes either, so will still be liable to tax in Spain, despite the efforts of those involved to avoid Spanish tax, in favour of paying UK tax?
Spanish
The Spanish threshold is much lower too.
Is it not €1 ? Happy to be corrected on that.