UK VAT Registered Business with EU VAT registrations, questions on B2B sales invoices and VAT
I'm working with a UK VAT registered business, who does B2B only sales all over the world. Some of their sales go directly from an Italian supplier, so they have an Italian VAT registration. I have a couple of questions in this area for which I am really struggling to find clear guidance on:
1. For sales made under the Italian VAT registration, does the net element go into box 6 of the UK VAT return. I know that exports go into box 6, but if the sale is made from the Italian VAT number surely these sales are nothing to do with the UK VAT number for which the UK return is for and should therefore be excluded entirely?
2. When making a sale to an Italian customer, where the goods go direct from the Italian supplier, the sale is being made under the Italian VAT registration (place of supply rule) and this customer is currently zero rating. I can't understand why though, surely it should be at the Italian VAT rate (the goods are vatable)?
3. When making a sale to an Italian customer, where the goods are being shipped from the UK, does this mean that they have to make the sale from the UK VAT number due to the place of supply rule? At which point they can zero rate as it's an export.
Any help is much appreciated.
1. For sales made under the Italian VAT registration, does the net element go into box 6 of the UK VAT return. I know that exports go into box 6, but if the sale is made from the Italian VAT number surely these sales are nothing to do with the UK VAT number for which the UK return is for and should therefore be excluded entirely?
2. When making a sale to an Italian customer, where the goods go direct from the Italian supplier, the sale is being made under the Italian VAT registration (place of supply rule) and this customer is currently zero rating. I can't understand why though, surely it should be at the Italian VAT rate (the goods are vatable)?
3. When making a sale to an Italian customer, where the goods are being shipped from the UK, does this mean that they have to make the sale from the UK VAT number due to the place of supply rule? At which point they can zero rate as it's an export.
Any help is much appreciated.
0
Categories
- All Categories
- 1.2K Books to buy and sell
- 2.3K General discussion
- 12.5K For AAT students
- 318 NEW! Qualifications 2022
- 156 General Qualifications 2022 discussion
- 11 AAT Level 2 Certificate in Accounting
- 56 AAT Level 3 Diploma in Accounting
- 92 AAT Level 4 Diploma in Professional Accounting
- 8.8K For accounting professionals
- 23 coronavirus (Covid-19)
- 272 VAT
- 92 Software
- 274 Tax
- 136 Bookkeeping
- 7.2K General accounting discussion
- 201 AAT member discussion
- 3.8K For everyone
- 38 AAT news and announcements
- 345 Feedback for AAT
- 2.8K Chat and off-topic discussion
- 582 Job postings
- 16 Who can benefit from AAT?
- 36 Where can AAT take me?
- 42 Getting started with AAT
- 26 Finding an AAT training provider
- 48 Distance learning and other ways to study AAT
- 25 Apprenticeships
- 66 AAT membership