Charging VAT on Sales Overseas
Our client is a UK-based software company who sell their products and services to customers all over the world. As a VAT-registered business, our client understood their obligations in relation to charging VAT to UK customers, but required advice as to their obligations when supplying goods and services to customers based overseas.
How we helped our client
The rules surrounding international VAT are highly complex and change depending on whether customers are EU or non-EU based, and if the customers are VAT registered themselves. Our client wanted a simple guide which they could refer to when invoicing their overseas clients in order to satisfy themselves that they were applying the correct VAT treatment to the transaction, be it a supply of goods or a supply of services. We prepared a document for our client which detailed, in simple terms, the circumstances under which they should charge UK VAT.
For more information or to discuss further, please contact the International Tax – For Businesses Taxperts.