Think I've summed it up really. We have a client in Bulgaria for whom we provide regular website content and I want to know if this should count towards are UK VAT threshold. We are not registered but if these "sales" do count then we may soon have to...and I really don't want to! The Gov website is, as you all probably know, as clear as mud. I suspect we do have to include them but then one particular part of the site says "If you supply services to a business customer in the EU, you don’t need to charge VAT - the customer is responsible for paying VAT in their country."
But then there is the whole issue of place of supply and also of what constitutes a service. Any help greatly appreciated.
Oh, also, might this change as/when/if we ever leave the EU fully?!
Cheers!
Related resources
Replies (6)
Please login or register to join the discussion.
So, for this year! The Place of Supply for a B2B supply of services is where the customer is located. The supply is therefore outside the scope of UK VAT and does not count towards the registration threshold. You will need the customer's local VAT number or other evidence that he is in business.
My guess is that this rule will remain as-is from 1 Jan 2021.
Hi, the first respondent said "My guess is that this rule will remain as-is from 1 Jan 2021."
Can anyone confirm this is still the case now we are outside of the EU as HMRC are no help at all!
Cheers,
Bob
Thanks a lot. And you'd be happy that us emailing articles to them counts as a service not a good?