Double charged VAT - imports (Brexit)

Hillybilly4

Have just taken delivery of an order imported from the UK.
Am sole-trader, not VAT-registered (below threshold).

My supplier charged UK VAT on the order and then I've been charged import duty and Irish VAT on the whole.
So, double VAT.


Spoke to the supplier in the UK who said they have to charge UK VAT as I'm not VAT registered in Ireland. (I had provided them with my EORI number and thought that would suffice). I think they're wrong but am having trouble finding anything 100% definitive on the web as much of what is written doesn't distinguish between VAT-registered and non VAT-registered businesses.

I just trawled through Revenue and came across the "electronic VAT refund service" - but that's only for VAT registered businesses to avail of.

So, am I stuffed? Doomed to pay both UK and Irish VAT?!

Edit - found these UK guidelines https://www.gov.uk/guidance/vat-on-goods-exported-from-the-uk-notice-703

antoinolachtnai

As far as I know you are correct and they are wrong.

The relevant notice seems to be.

https://www.gov.uk/guidance/vat-on-goods-exported-from-the-uk-notice-703

You should ask them to give you a refund of the UK VAT. But they don’t necessarily have to.

Can you find an alternative supplier?

Hillybilly4

Thanks, yes I found the same info as you did, belatedly.
I have sent that link to the supplier.

Unfortunately no alternative supplier...it's a very specialist "one stop shop" for 90% of my requirements. Have managed to find one Irish supplier for something and a supplier in NI for a few bits but am stuck with this UK supplier for everything else.

westgolf

Hillybilly4 wrote: »

Thanks, yes I found the same info as you did, belatedly.
I have sent that link to the supplier.

Unfortunately no alternative supplier...it's a very specialist "one stop shop" for 90% of my requirements. Have managed to find one Irish supplier for something and a supplier in NI for a few bits but am stuck with this UK supplier for everything else.

Register for Irish vat and send Irish vat number to english supplier. Supplier can then export to you at 0% vat. If vat is levied by revenue at point of entry claim it back every two months in your vat3 return. Assuming you are below threshold it will be an ongoing claim situation.

Hillybilly4

westgolf wrote: »

Register for Irish vat and send Irish vat number to english supplier. Supplier can then export to you at 0% vat. If vat is levied by revenue at point of entry claim it back every two months in your vat3 return. Assuming you are below threshold it will be an ongoing claim situation.

Thanks but have no intention of registering for VAT with all that entails! Been there, done that, got the T shirt.

Hillybilly4

Update.
The supplier has admitted they were in error and are refunding the UK VAT. Still "out of pocket" on this transaction due to having paid Irish VAT on an inflated figure but hey ho.

antoinolachtnai

MORE SUCCESS!

The Sunlit Uplands are in sight at last.

beachhead

covid acting up again I see

Hillybilly4

antoinolachtnai wrote: »

MORE SUCCESS!

The Sunlit Uplands are in sight at last.

westgolf

OP, is vat applicable to your item's ?

gary550

Having the same argument with a supplier at the minute who are claiming I need to pay both UK vat & Irish vat and duty when it should be zero rated for export and then have Irish vat & duty applied to the zero vat figure on import.

This is a big company too, you'd think someone would have the brains to read the Uk governments website where it is clearly stated in black and white :rolleyes:

Scotty #

As others have pointed out, UK companies should not be charging UK VAT on goods being delivered to EU or Northern Ireland.

If you are not VAT reg'd AND the goods are <€150 then they should be charging you under an Irish VAT No they've registered. They also need to register a VAT No. in every other EU country they deliver to.

This is why more and more UK retailers have stopped international delivery over the last few weeks and why lots of EU companies have stopped delivery to UK.

Hillybilly4

gary550 wrote: »

Having the same argument with a supplier at the minute who are claiming I need to pay both UK vat & Irish vat and duty when it should be zero rated for export and then have Irish vat & duty applied to the zero vat figure on import.

This is a big company too, you'd think someone would have the brains to read the Uk governments website where it is clearly stated in black and white :rolleyes:

My supplier is a big company too. Send them the link above. We really shouldn't be having to do their job for them but...

silver2020

gary550 wrote: »

Having the same argument with a supplier at the minute who are claiming I need to pay both UK vat & Irish vat and duty when it should be zero rated for export and then have Irish vat & duty applied to the zero vat figure on import.

This is a big company too, you'd think someone would have the brains to read the Uk governments website where it is clearly stated in black and white :rolleyes:

There is no duty, so forget that. (unless its cigs, alcohol etc)

UK company simply does not charge vat, accounts for it as export sales same as if they were selling to USA or Australia or Norway, ensures it has the paper trail to prove the goods were exported in case of inspection. Thy must supply a commercial invoice with taric codes and country of origin

You appoint delivery company as your customs agent, they clear the goods and you pay them the vat on entry.

UK companies that do a lot of business with the EU have figured it out. Those who don't do much can't be bothered as it does mean an extra layer of paperwork.

antoinolachtnai

Why would there not be duty?

Surely it depends on type of goods and origin?

Hillybilly4

There is import duty on most things, depending on country of origin etc.
All rates are in TARIC.
What I import mostly has a rate of 3.7%.