Do foreign companies (outside EU) selling services to Ireland need to pay VAT in Ireland?

UFC

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Hello all

As the title says, do foreign companies (outside EU) selling services to Ireland need to pay VAT in Ireland?

Any links appreciated.

Thanks for your time.
 
Supplying to a business or consumer, and what's the total value of services provided to Ireland in a year?
 
Supplying to businesses.

I'm asking this for a friend, but from what I gather her total value of services provided to Ireland in a year would be less than 20k.
 
As they're based outside EU, it's the importer that's responsible for VAT, on a reverse charge basis, except in exceptional cases.

Main exceptions: services connected with immovable property, supply of catering, entry to events, passenger transport or transport vehicle hire services.

This is standard across the EU on imports of services from outside EU.
 
Thanks for your reply.

Because they are providing services only (analytics), via a website, it seems they should not charge the Irish business VAT?

Am I understanding correctly?
 
Yes, correct.
There was a change in the rules 4 or 5 years ago in relation to e-services, but there was no impact on the VAT treatment on business to business supply.
No harm in them getting advice in relation to all their services to the EU to make sure they are treating it correctly in all cases.
 
Actually I'm a bit confused now. This revenue.ie website says the following:

Country of establishment of supplier: Outside EU
Country in which customer established: Ireland
Status of customer: Business
Place of supply: Ireland
Person liable to account for Irish VAT: Business customer

1. If the website server is outside Ireland, then the place of supply is not Ireland?

2. If the "business customer" is the person liable to account for Irish VAT, does that mean they should or should not be charged VAT?

Revenue aren't making this easy to understand...

Thanks for your advice RedOnion.


 
2. If the "business customer" is the person liable to account for Irish VAT, does that mean they should or should not be charged VAT?
The customer looks after the VAT (they self charge). Nothing for supplier to do.
Depending on where they are based they will probably need to keep records of the export to avoid local sales tax.
 
Overseas supplier charges USD100 for data-analytics. Irish business pays USD100 but tells the Irish tax-man services worth USD100 have been bought and the Irish customer pays USD23 (EUR equivalent) to Irish tax-man. As Irish customer uses Data-Analytics for its own business, it is entitled to take a deduction on the same USD23 amount. Ie effective nil payment to the Irish tax-man.
 
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