VAT EU Service post Brexit (Pre Brexit Service)

VAT EU Service post Brexit (Pre Brexit Service)

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We are recharging some management services completed in 2020.

We understand after Brexit, services are subject to reverse charge mechanism when sold from UK to NL.

If the services recharged relate to a management service carried out pre Brexit, what would the VAT treatment be?

(I browsed the Brace for Brexit articles, which were very helpful, but I couldnt find the exact answer)

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By paul.benny
25th Mar 2021 14:29

Try looking at the rules for tax point for continuously provided services.

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VAT
By Jason Croke
25th Mar 2021 15:40

The tax point for services is when the service has concluded or if it is a continuous supply of services, the tax point is when you raise an invoice or receive payment.

So if raising an invoice today (post-Brexit), then tax point is today and UK not in the EU as at 11pm on 31/12/2020, so new rules apply (so pretty much same as pre-Brexit, outside the scope of VAT, but without the need to do an ECSL).

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