vat on sales

V

viztopia

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I have a problem in relation to charging vat on sales which i need to clarify. Basicly i do all my work for a customer based in northern ireland. i hire in perople to do the work for me (in the republic), they invoice me (with vat) and then i invoice my customer based in Belfast with a N.I. registered vat number. What i need to know is should i be charging vat on the sales?
 
VAT

You omitted to mention if you are VAT registered?

I presume that when you mention an NI VAT number, that is the customers?

To the best of my knowledge;

If you are VAT registered in ROI, then you do not charge the NI VAT registered customer VAT, but note their UK VAT number on the invoice and your records.

You can also reclaim the VAT you paid to your Irish suppliers.

If you are not VAT registered in ROI, you do not charge them VAT, nor can you reclaim VAT paid to your suppliers.

I think...............
 
yes ia am registered for vat. basiclly i am getting hastled by the revenue because i am always getting refunds. i am wondering should i be charging vat on my sales to NI, even though they are based in NI but the work is done in the republic??
 
"basiclly i am getting hastled by the revenue because i am always getting refunds"

How are they hastling you?

Did you not indicate to them what your business is?
 
thanks for the reply.
getting hastled by having a vat audit from revenue. The refunds were getting steadily higher and higher until i got a call from the tax office about the last return and i sent in supporting invoices with the return. the invoices were all o.k. i.e. business related and filled out correctly. the only thing that i am worried about is the treatment of the sales to N.I.!
 
where the company in NI is vat redg and you have their vat number you donot charge them vat. You will therefore be always in a refund situation if your only customer(s) are outside the state. The revenue will realise this and should largly leave you alone. Don't forget if you do any work for unredg businesses or people in ni you have to charge them the vat, likewise if you do any work in republic you have to charge them the vat and return it on your vat 3
 
Hiviz

Are you really getting hassled?

If they did a VAT audit and gave you the all clear, then you should have peace of mind. They would have approved, by default, the way you invoice your Northern Irish customers.

If someone is in a refund situation, they are quite right to verify it from time to time. There have been a lot of VAT reclaim frauds recently. But if you are not doing anything wrong, there is really no hassle.

By and large, the Revenue have improved their game in recent years and they treat their compliant customers very well.

Brendan
 
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