Invoicing UK clients

dahamsta

Can't remember: I have a UK client paying me with a sterling cheque, is it ok to make the invoice out in pounds sterling? It's only a small amount so I don't really care, just curious is all.

adam

nahdoic

I don't know all the ins and outs.

But from my own experience, no problem whatsoever.

If you have their registered VAT number, then you don't need to charge them VAT on the invoice either. (it's a B2B transaction)

When you're doing your accounts, you can just take the value at the amount you got when you exchange and lodged it into the bank - or if you were doing a lot of these transactions you could take an average over the year. As it would be impossible to calculate them all.

And of course you shouldn't trust anything I say (as if you would) and ask your accountant

Fergal C

nahdoic
If you have their registered VAT number, then you don't need to charge them VAT on the invoice either. (it's a B2B transaction)

Note that when dealing with a company outside of Ireland it is your responsibility to verify the VAT number. That is if they give you a false VAT number the Irish Rev Comm's will hold you liable for the VAT you did not charge.

Your local Revenue office should be able to verify the UK VAT number for you.

nahdoic

or you could use this rather neat service.

dahamsta

I'd imagine that just does some sort of mathematical check, and those things can be fooled pretty easily. Anyone want a credit card number?

Thanks for the help folks. I'm currently not registered for VAT and won't again until the new year, so the VAT number thing is irrelevant.

adam

nahdoic

Originally posted by dahamsta
I'd imagine that just does some sort of mathematical check, and those things can be fooled pretty easily. Anyone want a credit card number?

It would be pretty useless if it was just basic validation. I think it's based on a database though, cos my vat number isn't considered valid yet ... although I only registered for VAT a few days ago. I hope they update their database soon.

De Rebel

Originally posted by nahdoic
It would be pretty useless if it was just basic validation. I think it's based on a database though, cos my vat number isn't considered valid yet ... although I only registered for VAT a few days ago. I hope they update their database soon.

Sounds correct. I de-registered a few months ago and my VAT No. is rejected. If it were formula based it should still pass.

nahdoic

Originally posted by De Rebel
Sounds correct. I de-registered a few months ago and my VAT No. is rejected. If it were formula based it should still pass.

Hehe. Two negatives - we'd need a positive in there to make sure the damn thing actually works

Borzoi

Well, my place of work passed - bit of a relief that!


BTW You can invoice in any currency yourself and your client agree to.

pablo21

The safest thing to do is always invoice in your own currency, that way you are independent of currency fluctuations! Not a big issue with the UK I know but worth noting nonetheless!

dahamsta

Originally posted by De Rebel
Sounds correct. I de-registered a few months ago and my VAT No. is rejected. If it were formula based it should still pass.

Fairy Nuff, my bad.

adam