I have a situation where there is a German holding company which is just an investment company and so can't recover VAT in Germany. The German accountants have raised a fee for general advice provided to the company but raised the fee to the UK group parent (which can recover all VAT as it makes management service charges). Applying the reverse charge would give us input tax in the UK which in theory we can recover? It doesn't feel right though that by just raising the fee to the UK we can recover the VAT. Am I missing something?