VIES Return question duel currency

[ninak]

Our company does a lot of trade in the UK and receives most payments in sterling. We have a Northern Irish ac where the sterling payments go to and Irish one for euro payments. The NI a/c is a new addition. I am making a VIES return including the trade that was paid for into the NI a/c. My question is how to account for the amount on the VIES return? As the money has not been transferred into our southern company a/c the totals I have are sterling. Should I manually change them into the Euro amount that they would have been worth on the day they were received? I was worried this may lead to probs with revenue later as amounts would vary between what the exchange rate would have been when the payments went into the sterling ac and what they will be when/if we transfer them into our euro a/c. Any advice?

 

[Madilla]

The GBP invoices should be converted at the time of invoice to the Euro equivalent

 

[ninak]

Thanks Madilla. As we make our vat returns on a invoices paid basis rather than when invoiced basis, I am wondering if I should use that here as well, or, as you say, take exchange rate on the invoiced date rather than paid date.

 

[Rudolf289]

Rates of exchange for VIES/Intrastat declarations

Thanks Madilla. As we make our vat returns on a invoices paid basis rather than when invoiced basis, I am wondering if I should use that here as well, or, as you say, take exchange rate on the invoiced date rather than paid date.

Hello Ninak,

I think you should use the rate of exchange as published by Revenue (see this link : http://www.revenue.ie/en/customs/businesses/importing/exchange-rates/index.html)

I would suggest to use the rate of exchange of the month in which the transaction took place (regardless of the rate of exchange you paid when paying the invoice).

alternatively a quick call to the VIMA office in Dundalk should definitely clarify the issue.

Cheers,
Rudolf289