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Should you charge VAT?

14/06/2018 08:05:43
Should you be charging VAT? Do you need to register for it?

You can find out more via this link below:

Businesses and charging VAT

This message was edited 2 times. Last update was at 23/04/2019 14:10:04

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Should you charge VAT?

21/09/2018 06:20:49
Hi,
We have a small business (cafe) and we elected to register for the flat rate VAT. I read on the gov website that coffee beans are not vatable.. My question is: we sell our coffee beans online and post them to customers in bags. Should these bags of coffee beans have VAT included or are the VAT excemt? Thank you.
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Re:Should you charge VAT?

21/09/2018 14:03:35
Hi Ace,

Thanks for your question.

We have checked this with our technical experts and they have advised that the VAT liability of the beans would be zero rated, however if you are on the flat rate scheme you still need to include these sales in your flat rate turnover calculation for your VAT return.

Hope this helps.
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Should you charge VAT?

03/10/2018 08:00:46
Hi,
We are a new start small temporary recruitment agency supplying healthcare staff and nurses to care homes (only). We are likely to exceed the treshold very soon. Is our supply of services to care homes vat exempt and should we register for vat?
Thank you.
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Re:Should you charge VAT?

03/10/2018 13:50:15
Hi,

Thanks for your question.

Please read VAT notice 701/57 section 6 with regards to the supply of staff to see if your supply would fall under this and be exempt from VAT or not.

If you deem your supply to be exempt then these supplies would not count towards the VAT registration threshold.

Hope this helps.

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Should you charge VAT?

13/11/2018 14:09:21
Hi,

I'm looking to provide hot food catering to venues.

Do i need to be VAT registered if my turnover is below £80,000 per year?

Regards,
Brad
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Re:Should you charge VAT?

13/11/2018 15:39:07
Hi Brad,

Thanks for your question.

The current threshold for registering for VAT is £85,000. When you reach this, you are required to register for VAT.

If you are trading below this, then you are not required to register for VAT, but can voluntary register at any time.

VAT notice 700/1: should I be registered for VAT?

Hope this helps.

This message was edited 2 times. Last update was at 14/11/2018 08:31:12

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Re:Should you charge VAT?

21/11/2018 07:16:45
HMRC Admin 50 wrote:Hi Brad,

Thanks for your question.

The current threshold for registering for VAT is £85,000. When you reach this, you are required to register for VAT.

If you are trading below this, then you are not required to register for VAT, but can voluntary register at any time.

VAT notice 700/1: should I be registered for VAT?

Hope this helps.



Thank you for your reply.

Just to clarify in ref to the enclosed extract; my annual turnover is below £85,000 and although I'm seliing hot catering food that are 'standard rate vat' . I do not need to be VAT registered or add VAT standard rate to my sales to customers.


https://www.gov.uk/guidance/catering-takeaway-food-and-vat-notice-7091#catering
2.2 Catering contracts
Any supply of food or drink as part of a contract for catering is standard-rated.
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Re:Should you charge VAT?

21/11/2018 08:34:32
Hi Brad,

If your turnover is below the VAT threshold and you choose not to voluntary register for VAT then you will not charge VAT on your supplies.

You can only charge VAT if you are VAT registered.

I hope this helps.
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VAT Reverse Charge Mechanism

05/12/2018 16:52:43
What should be written on our VAT returns for services supplied to a company in Belgium?

Right now, no VAT is charged. Instead, the words "For the purpose of VAT Reverse Charge Mechanism"--together with both VAT numbers--are printed on the invoices.
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Re:Should you charge VAT?

06/12/2018 10:04:11
Thank you for your question.

As long as the caveat on your Tax Invoice is clear to the customer that the service provided is subject to the 'reverse charge' and then they will understand they are accountable for the VAT in that country.

Please see the following link to Sec 5.17 of PN 741A:

Place of supply of services (VAT Notice 741A)

These types of services are only included in Box 6 on your VAT Return.

I hope this helps.

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Should you charge VAT?

04/02/2019 13:31:44
Hi, just starting an online business selling digital downloads only. (Jan 2019) No income as yet.
I want to sell to the EU , so do I need to add VAT to products straight away and join VAT MOSS now, - or do I wait till £8818 threshold has been reached to register?
Someone recently mentioned the Making Tax Digital scheme, but does this help me or not and is that in addition to VAT MOSS?
Many Thanks.
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Re:Should you charge VAT?

05/02/2019 10:58:54
Hi,

Thanks for your question.

Making Tax Digital is not related to the new rules in respect to VAT MOSS. Business to Consumer supplies of digital services, the place of supply will be the UK, up to the threshold of £8188, then the country of consumption on supplies after, so registration is not required up to this threshold.

As VAT is a self-assessing tax, please refer to the following links and follow this guidance.

VAT rules for supplies of digital services to consumers in the EU

Register for the VAT Mini One Stop Shop scheme

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Should you charge VAT?

05/02/2019 14:01:05
Hi, my digital downloads are specifically for B2B - not to general customers (B2C), and most of my clients would probably be VAT registered.
How do I proceed to sell my products ? -
a - to UK,
b - to EU,
C - other countries
Do I need to be VAT registered to sell digital downloads B2B in any of these 3 scenarios?
(Sorry) This part is not quite clear in the HMRC guidelines.. is an EC Sales List more relevant here?? or is VAT MOSS still the best option?
Thanks
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Re:Should you charge VAT?

05/02/2019 16:16:09
Hi,

Thanks for your question.

VAT MOSS is only relevant to Business to Consumer supplies of digital services. If the services are supplied business to business (B2B), then your supplies would be outside the scope of UK VAT, when supplied outside the UK.

Only your supplies in the UK would count toward the UK VAT threshold of £85,000, so you do not have to register for UK VAT unless you hit this threshold, but may wish to voluntary register. EC Sales Lists will be relevant only if you are UK VAT registered and making these types of B2B supplies.

As VAT is a self-assessing tax, please refer to the following links and follow this guidance.

Place of supply services (VAT notice 741A)

VAT notice 700/1: who should register for VAT?

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