Output VAT on work done outside of UK

System
System Posts: 100,534 🤖 Admin 🤖
I have a potential new client who is a marine consultant based in the UK. However he regularly provides his services overseas. Sometimes these services are invoiced to companies in the UK, even though the work was done outside the UK, and sometimes the services are invoiced to companies outside of the UK. Does anyone know whether output VAT should be being declared on these sales and is it relevant where the work was carried out and also where the sales are being invoiced to (ie the UK or overseas). I hope that all made sense!

Comments

  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Output VAT on work done outside of UK

    When things get this complicated, I would always ask for confirmation from a VAT officer in writing - just to be on the safe side. Good luck!
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Output VAT on work done outside of UK

    Hi Paul

    Try VAT notice 741 regarding place of supply. I would certainly check with HMRC but this document might just clarify the question for you.

    The other option is to ring the Croners helpline number (supplied to MIPs).

    Sharon
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Output VAT on work done outside of UK

    Even the VAT office are not sure about this.

    I have got a similar situation with my husband. I have managed to establish the following as fact -

    Work done in EU for UK based and UK VAT registered company - add VAT as normal.

    What I can't establish (and VAT office couldn't help either - they only as far as "I think" and "read the booklet") is if he sub-contracts work to a french company that is TVA registered then what happens in the following scenarios -

    a) work carried out in UK (I think that it is zero rated and then VAT added on in his VAT return).
    b) work carried out in France - their place of residence, and most complicatedly
    c) work carried out in another EU country.

    The very end user ie person ultimately paying, is UK based company but with head office in Belgium.

    Tearing my hair out over this one, and trying to persuade him not to use this company :lol:

    Claudia

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