VAT Number

cupthehand

Hi, first off im a total novice about anything finacial and was wondering could anyone on here gimme some advice. Im looking into buying a product off the internet (from the UK 17.5%VAT) and during the buying stage it gives me the option to type in a VAT number to save on the VAT on the item. I will be able to use a VAT number no problem but what I want to know is Will I be liable for VAT when the package reaches Ireland and what exactly is the next step upon me paying for the item will the comapny whose VAT number I use be billed for the VAT or something like that. Surely its nothing as simple as I just enter the VAT Number and hey presto get a 17.5% discount on my item nothing said and thats the end of it or is it. Sorry for sounding stupid but Im totally in the dark regarding VAT matter.
Any help would be greatly appreciated.
Regards.

Slinky>

Either your a company that is VAT registered in which case you normally dont have to pay VAT on items purchased for the company in the uk, If that is the case stick in your VAT number,

Or your using someone elses VAT number for a items which have nothing to do with the company (Which is VAT Fraud),

There's no real cross checking system but it could come up in a VAT Audit situation

cupthehand

Slinky> wrote:

Either your a company that is VAT registered in which case you normally dont have to pay VAT on items purchased for the company in the uk, If that is the case stick in your VAT number,

Or your using someone elses VAT number for a items which have nothing to do with the company (Which is VAT Fraud),

There's no real cross checking system but it could come up in a VAT Audit situation

I'd be using a friends VAT Number with his full permission and his name would be on the order for electronic items which could be used for his company, it would just be me paying. He's got an Irish registered company does that make a difference to buying from the UK

dermot_sheehan

cupthehand wrote:

I'd be using a friends VAT Number with his full permission and his name would be on the order for electronic items which could be used for his company, it would just be me paying. He's got an Irish registered company does that make a difference to buying from the UK

He then is supposed to charge you VAT at 21% and remit this to revenue, anything else is VAT fraud which although you might get away with, could come up in an audit.

cupthehand

gabhain7 wrote:

He then is supposed to charge you VAT at 21% and remit this to revenue, anything else is VAT fraud which although you might get away with, could come up in an audit.

What about if he pays for it thru official channels and I buy it off him for cash and no one is any the wiser?
Sorry now bout all the questions.

kluivert

You are buying electrcial equipment.

The accountant will want to see the invoice that was included on the Vat Returns and may want to physically inspect the item.