VAT on travel expenses - Europe

Psyche Registered Posts: 187 🎆 🐘 🎆
Hello there!
Question for the VAT experts. I know that if a VAT-registered UK business purchases goods or services from a European supplier, they are supposed to pay UK VAT not European VAT. But how does this work in practice on things like hotels and restaurants for business travel?


  • Londina
    Londina MAAT, AAT Licensed Accountant Posts: 814
    In my practice they don't bother with those receipts, basically we claim UK VAT only on UK receipts, for the European ones we consider everything not vatable.
  • T.C.
    T.C. Registered, Tutor Posts: 1,448
    Glad to hear that. I did that on some accounts in the past - basically ignored the VAT and put it in as a whole expense.
  • deanshepherd
    deanshepherd Registered Posts: 1,809
    You always have been able to reclaim EU VAT paid it was just a really cumbersome process. You had to register in each EU country concerned and submit a VAT return in that country's own language which usually meant appointing an agent - not worth it for small sums.

    However, since January 1st you can now submit electronic claims in your own country in your own language so I have been getting clients to stockpile those EU receipts ready for processing.
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