GOV.UK explains how UK businesses registered for VAT can export goods by post, free of VAT. It also confirms that Jersey is outside the VAT area.
Do you charge VAT on invoices outside the UK?
Place of supply
In other words, which country in a transaction must deal with the VAT? If the place of supply is outside the UK, then no UK VAT is charged.
Do you charge VAT on international invoices?
VAT is a tax on goods used in the UK and you do not charge VAT if goods are exported from: Great Britain to a destination outside the UK. Northern Ireland to a destination outside the UK and EU .
Do jerseys have VAT numbers?
If you are asked for a VAT number, you should advise your supplier that Jersey is outside the European Union (EU). The supplier can zero-rate the sale as a service exported from the EU.
Do you charge VAT on services to Channel Islands?
2.5 UK territorial limits
There is no VAT in the Channel Islands or Gibraltar, which are outside the UK for VAT purposes.
Do I charge VAT on services to UK?
If you receive services from a company based in the UK after the transition period, in general, Irish VAT will be due on the services. If you provide services to a company based in the UK, in general, UK VAT will be due on the services.
Do you charge VAT on services to America?
The majority of goods exported to the US can be zero-rated for VAT. In other words, you do not need to charge VAT on the exported goods, or the extra charges such as shipping and delivery. … Therefore, if you do several exports to the US, it may be beneficial to not be on the Flat Rate Scheme.
When should I charge VAT on an invoice?
You must account for VAT on the full value of what you sell, even if you: receive goods or services instead of money (for example if you take something in part-exchange)
Do I charge VAT on invoices to Europe?
At the moment, for EU transactions, VAT is generally not charged on the supply of goods between businesses from another European country by the supplier. Instead, a business recipient is generally required to charge itself VAT, known as acquisition VAT, which is typically an accounting transaction on the VAT return.
Do I have to charge VAT on services to EU customers?
If you provide services to customers outside the EU, you usually do not charge VAT. However, if the service is used in another EU country, that country can decide to charge the VAT. You may still deduct the VAT that you paid on related expenses, such as for goods or services purchased specifically to make those sales.
Should I charge VAT on services to Jersey?
If you’re supplying services to Jersey then you definitely do not charge VAT – i just had to check the same thing with our accountant re a client we took on last week.
Is Jersey still VAT free?
As one of the Channel Islands, Jersey is a tax-free shopping haven with no VAT on their products. This means that luxury goods and services are cheaper in Jersey than in the UK and France, acting as a perfect incentive to bring you over to the island.
Do you charge VAT on exports to Jersey?
As the goods are for export outside the EU, ordinarily no VAT to be charged. But the company purchasing the goods is UK registered and the invoice address is in the UK.
Do you charge VAT on services?
VAT is short for ‘Value Added Tax’, and is charged on most sales of goods and services in the UK. When your business makes sales, you don’t charge VAT to your customers unless you’re registered with HMRC to do so.
What percentage is VAT?
The standard rate of VAT increased to 20% on 4 January 2011 (from 17.5%). Some things are exempt from VAT , such as postage stamps, financial and property transactions. The VAT rate businesses charge depends on their goods and services. Check the rates of VAT on different goods and services.
Do foreign companies pay UK VAT?
If you are an overseas seller who owns goods of any value that are located in the UK at the point of sale you must register and account for VAT on any sales you make directly to customers in Great Britain or Northern Ireland.