VAT from Portugal in EC Sales form

student40 Registered Posts: 10 Regular contributor ⭐ ? ⭐
A company in Portugal has done services for our company, we are in UK and they are now invoicing us for their services.
Do I have to include this invoice in the EC Sales when Portugal is invoicing us?
Do I have to show their 23% VAT in our books?
We cannot claim this VAT can we?


  • Rinske
    Rinske Registered Posts: 2,453
    As far as I'm aware, you should be getting an invoice without Portugese VAT on it.
    You give them your VAT number and then they transfer the risk of the VAT liability with yourself.

    So once you got the proper invoice without portugese VAT, you would charge the UK VAT on top of this invoice in the VAT return in box 1 and deduct it again box 4.

    If my memory serves me correct I don't think you include the services on your EC trade list. But I'm hoping someone will correct me if I'm wrong though.
  • villapb
    villapb Registered Posts: 357
    ps i use business link all the time, far eaier to understand then
  • student40
    student40 Registered Posts: 10 Regular contributor ⭐ ? ⭐
    Thanks very much, everyone has been very helpful
  • student40
    student40 Registered Posts: 10 Regular contributor ⭐ ? ⭐
    Sorry to bang on this again, I had a response from Portugal and he sent me the legislation and they have to charge the portuguese VAT.
    I red on the businesslink that what I have to do is, as it is in Euros and the whole amount has to be paid, to convert the total into sterling then calculate the UK VAT of the total and then I can record what we have to pay is that correct?

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