I have a client who sells digital services (PDF patterns) via Etsy. Etsy automatically charge all their customers VAT, whether they live in the UK, EU or many other countries. Etsy account for it on their end and pay it directly to the tax authorities of the country.
In theory, this is great because my client doesn't need to bother registering for the MOSS scheme. However, if all their customers are being charged VAT anyway, it would make sense that my client voluntarily register for UK VAT so they can claim back VAT on their expenses.
HMRC state that if you sell digital services entirely through digital platforms or marketplaces, like Etsy, you don't need to register for MOSS or UK VAT.
So here's my query: If my client voluntarily registers for UK VAT, what do we put down as their sales figure on the VAT return? The VAT is already collected and paid to HMRC by Etsy and never reaches my client so I presume we just put £0 as the sales each quarter, but I've never come across this situation before and would like to hear from anyone who has? It seems odd to be submitting a nil sales return each quarter.