EU sales reverse charge

Support
1

Hi,

Wonder if anyone can help.

We sell to VAT registered businesses outside the UK but still within the EU.

We have created clients in the QuickFile system and ticked the box “VAT Registered in another EC member state”.

According to HMRC sales to these customers can be zero rated.

When creating the invoice the VAT still appears!

The only way to globally remove the VAT is to click the reverse charge box when creating the invoice. However the reverse charge does not apply to these goods as they are not goods or services as specified by HMRC below:

“3.1 What are the specified goods and services?
The specified goods to which the reverse charge applies are:
mobile phones; and
computer chips.
The specified services are:
emissions allowances.”

So how can we present the invoice correctly? without having to amend every item line on the invoice?

Kind regards

Leigh

2

Can you not just change the VAT box to 0%? The invoice will show the total amount you want to charge and no VAT, since you are not charging any VAT.

3

Thanks Marcus.

Yes - I just wondered if there was another way to do this globally without having to change each product line

4

If you modify the supplier you can change the VAT for the client to “No VAT” I believe and then by default all lines you enter on an invoice for this client will be 0% VAT. If that is no help then sorry I don’t know any other way.

5

Thanks Marcus great help