UK VAT Question

Chief87

Hi guys,

I have a new website in the UK but with an Irish VAT number.

I will be buying and selling in the UK.

I see I do not need to register a UK VAT number until I exceed £70,000 in sales in the UK which is fine.

As far as I am aware I should not be charged VAT from my supplier in the UK? They are saying they should charge VAT but I can claim it back but how can I with no UK VAT number..

When buying from suppliers in the UK and selling in Ireland I am never charged VAT.

Can someone in the know please clear this up for me?

Cheers.

pedronomix

If you buy and sell in the UK, you cannot reclaim the UK VAT unless you are registered there and then you must also charge UK VAT on sales there. To buy VAT free ex-UK, you must ship the goods to Ireland and then send them back to the UK. If you are VAT registered here you can only sell VAT free in the UK to UK VAT registered entities when you ship from Ireland. It is all to do with VAT anti-fraud legislation.

JMR

Chief87 wrote: »

Hi guys,

I have a new website in the UK but with an Irish VAT number.

I will be buying and selling in the UK.

I see I do not need to register a UK VAT number until I exceed £70,000 in sales in the UK which is fine.

As far as I am aware I should not be charged VAT from my supplier in the UK? They are saying they should charge VAT but I can claim it back but how can I with no UK VAT number..

When buying from suppliers in the UK and selling in Ireland I am never charged VAT.

Can someone in the know please clear this up for me?

Cheers.

I had the same issue a little while ago. The only advice I can give you is to speak with your accountant as it is vital you get this right and following the advice you may receive on this forum is not the way to ensure compliance.

pedronomix

The VAT legislation is quite precise and simple in this area, and it is always right to check. Revenue will be more than happy to advise, they are generally very helpful! No need to waste money on an accountant when you can get it for free from the horses mouth!

Chief87

Cheers guys...I will get on to revenue to be sure.

From what I read in the replies then when distance selling in the UK I should be charged VAT by my supplier and charge VAT to the customer but not be able to claim back until I decide to get a UK vat number?

pedronomix

Chief87 wrote: »

Cheers guys...I will get on to revenue to be sure.

From what I read in the replies then when distance selling in the UK I should be charged VAT by my supplier and charge VAT to the customer but not be able to claim back until I decide to get a UK vat number?

Bingo!!

dbran

You have two choices

1) Register for distance sales in the UK and obtain a UK VAT number. You dont have to wait until your sales exceed £70k

2) Claim the UK VAT back via EVR on ROS.

Dbran