Welcome to the WholesaleForum.com! Sign in or Register Free to benefit from our full range of free services

Welcome to Wholesale Forum.comWelcome ToWholesale Forum.comFind wholesale buyerstrade buyers and wholesale offers free

For Buyers

Wholesale Forum is the fastest growing online business community dedicated to retailers, auction sellers, surplus and overstock buyers needing a quick and safe solution for sourcing trade stock. Join our free and friendly forums today and gain knowledge, offer your advice, and discover new partnership opportunities:

For Suppliers

For wholesalers, dropshippers, manufacturers, distributors and trade services providers. Advertise your business today on WholesaleForum.com for free to reach potential trade buyers on a more personal level. Promote your latest offers, interact with buyers in real time, distinguish yourself as an expert in your field, and attract sales instantly.

Sign up now More benefits for Buyers
Sign up now More benefits for Suppliers
Post Reply
Page 1 of 2 1 2 LastLast
    1. Carzzzz is offline

      Join Date
      Dec 2010
      Location
      United Kingdom
      United Kingdom
      Posts
      57
      Thanks
      0
      Thanked
      0 Times in 0 Posts
      #1

      When selling to other EU member states from the UK - when should I charge VAT?

      When selling to other EU member states from the UK - when should I charge VAT?
      Over 150,000 Verified Sources + Deals 95% Off MSRP + Free Website!

    2. 12snakes is offline

      Join Date
      Dec 2010
      Location
      United Kingdom
      United Kingdom
      Posts
      106
      Thanks
      0
      Thanked
      3 Times in 3 Posts
      #2
      VAT applies generally to all goods and services bought and sold for use or consumption in the EU community. Each country has its own VAT authority, and different Member States may have different rules that apply to VAT within the individual state.

      If you’re going to sell outside the UK, you might want to familiarize yourself with the VAT requirements of whichever country or countries you’ll be doing business with.

      In essence, the amount of VAT that is due as well as which EU member country would collect it is determined by where the goods are supplied and where they’ll be consumed.
      Want To Be An eBay Powerseller?
      This is the Service You Need.

    3. Carzzzz is offline

      Join Date
      Dec 2010
      Location
      United Kingdom
      United Kingdom
      Posts
      57
      Thanks
      0
      Thanked
      0 Times in 0 Posts
      #3
      I will be selling outside the UK so I guess I have some research to do. I know there’s a VAT deduction that can be taken at some point, but I don’t really know where. Do you?

    4. 12snakes is offline

      Join Date
      Dec 2010
      Location
      United Kingdom
      United Kingdom
      Posts
      106
      Thanks
      0
      Thanked
      3 Times in 3 Posts
      #4
      Right, in order for goods dispatched (or removed) from the UK to a customer in another EU country to be zero-rated for VAT, there are certain conditions that must be met.

      One side note, in case others reading this are not aware: when you supply goods to another EU country, the goods that leave the UK are referred to as “dispatches” or “removals”; they’re not called “exports”. The term “export” refers to goods sold to someone in a non-EU country.

      You’ll have to complete an EC Sales List, or ESL. This is needed when you, as a VAT-registered business, sell or supply goods or certain services to VAT-registered customers in other EU countries. This is your way or reporting your business to HM Revenue & Customs (HMRC).

    5. Carzzzz is offline

      Join Date
      Dec 2010
      Location
      United Kingdom
      United Kingdom
      Posts
      57
      Thanks
      0
      Thanked
      0 Times in 0 Posts
      #5
      I’ve heard of the ESL. I’m not exactly certain what it is, though. I know I’ve seen it referenced on my VAT Return.

    6. Grassisgreen is offline

      Join Date
      Dec 2010
      Location
      United Kingdom
      United Kingdom
      Posts
      79
      Thanks
      0
      Thanked
      4 Times in 3 Posts
      #6
      It’s just another way for HMRC to obtain even more details about one’s business. Just make sure you keep excellent track of all your business transactions; it’ll save you a headache later.

    7. 12snakes is offline

      Join Date
      Dec 2010
      Location
      United Kingdom
      United Kingdom
      Posts
      106
      Thanks
      0
      Thanked
      3 Times in 3 Posts
      #7
      Yea, the paperwork can start to add up. If you’ve checked off Box 8 on your VAT Return, HMRC will automatically send you an ESL. The information you provide on the ESL is used by the tax authorities in the other EU countries. In addition to your own, you’ll provide such information as:

      • Your customer’s name

      • Their relevant country code

      • The value of the goods and/or services provided

      Depending on whatever goods or services you provide, you’ll need to submit an ESL either monthly or quarterly. This information is then used by these other tax authorities to make sure the business customer to whom you’ve sold goods or provided your service is handling the VAT correctly.

      The reverse holds true when/if you or your business receives goods from a supplier in another EU country; that supplier must also complete a similar sales list.

    8. Carzzzz is offline

      Join Date
      Dec 2010
      Location
      United Kingdom
      United Kingdom
      Posts
      57
      Thanks
      0
      Thanked
      0 Times in 0 Posts
      #8
      The HMRC doesn’t miss a beat, does it?

    9. 12snakes is offline

      Join Date
      Dec 2010
      Location
      United Kingdom
      United Kingdom
      Posts
      106
      Thanks
      0
      Thanked
      3 Times in 3 Posts
      #9
      Not if they can help it. You must complete an ESL in other circumstances as well, for example:

      • Goods you’ve supplied to a VAT-registered business in another EU country even if you haven’t invoiced for them.

      • If you’ve given a credit note to a VAT-registered customer or business in another EU country, even if you haven’t supplied any goods during the period.

      • If you’ve sold goods to a VAT-registered customer in another EU country outside of the UK, and did not actually handle those goods yourself. For example when your supplier, who’s located in one EU country, sends the goods directly to your customer.

      • If you’ve supplied a service to a VAT-registered EU business where the supplying occurs in that customer’s country and the service that’s supplied is subject to the reverse charge in that country.

    10. Carzzzz is offline

      Join Date
      Dec 2010
      Location
      United Kingdom
      United Kingdom
      Posts
      57
      Thanks
      0
      Thanked
      0 Times in 0 Posts
      #10
      Sounds like the ESL is the catchall form for every kind of business transaction I’ll have. What’s reverse charge?

Sign Up Now

Got something to say? Sign up now and join the discussions.

Post Reply
Page 1 of 2 1 2 LastLast

Tags for this Thread

Similar Threads

  1. UK VAT for non EU buyers - Reimporting goods purchased within the EU
    By AlexL in forum Accounting & Tax Discussion
    Replies: 4
    Last Post: 19 Apr 2012, 03:56 PM
  2. How to check the validity of a UK/EU VAT number?
    By moorejoseph in forum Accounting & Tax Discussion
    Replies: 10
    Last Post: 11 Nov 2010, 05:31 AM
  3. Selling peroxide teeth whitening in the EU and UK - is it illegal?
    By tricaster in forum Legal, Contracts, Insurance & Trade Terms Discussion
    Replies: 2
    Last Post: 20 Jun 2012, 04:38 AM
  4. Sell to someone who isn't VAT registered in another EU country
    By Rocky78 in forum Accounting & Tax Discussion
    Replies: 5
    Last Post: 21 Dec 2010, 01:05 AM
  5. Replies: 6
    Last Post: 21 Feb 2012, 07:43 AM
  6. WWE merchandise wholesaler EU - New Wholesale Forum Member from France
    By Rock Mortis in forum Introduce Yourself To Other Members
    Replies: 1
    Last Post: 11 Jan 2012, 06:39 AM
  7. Selling on Amazon from UAE - Options for cheap shipping to US, EU & other countries
    By davidsimon64 in forum Shipping & Shipping Documents Discussion
    Replies: 2
    Last Post: 10 Dec 2011, 01:01 AM
  8. New member on Wholesale Forum - Importing and selling online
    By JusPressPlay in forum Introduce Yourself To Other Members
    Replies: 1
    Last Post: 30 Dec 2011, 06:05 AM

My Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
All times are GMT -4. The time now is 07:32 AM. - Fixed Width