No VAT on items exported to Republic of Ireland

[HeatherD]

Hello. Am I right in treating the Republic of Ireland like any other EU country and not charging VAT on B2C products I send there? I googled it but have come across conflicting information.

Thanks.

[HeatherD]

Looking at this from KPMG I think it’s right to charge no VAT:

"Sales of goods from Ireland to Great Britain should be treated as exports with no Irish VAT chargeable.

The same rules should apply to the sale of goods from Great Britain to Ireland with no UK VAT chargeable."

VAT & Customs changes

[QFBeth]

Hi @HeatherD

It may be best to speak with your accountant to make sure that you are allocating the VAT correctly

[cbstephensaca]

This is the HMRC guidance on the export of goods (I assume you are talking about goods not services) Exports, sending goods abroad and charging VAT - GOV.UK

Exports outside the UK can be zero-rated as long as they are being sent abroad directly.

[HeatherD]

Thanks Claire. Yes, it is good we’re sending. It’s interesting as my accountant also made reference to the route the goods are taking. We use Parcelforce and I have no idea and no control over what route is taken. I’m working on the basis that I’m expecting the consignment to go straight to the ROI as I have no reason to think it goes any other way. The tracking doesn’t tell me which port the consignment goes to. I wonder how other people manage this one? Fortunately this is just one item of relatively low value.

[cbstephensaca]

What matters is where you are shipping them to, rather than where Parcelforce takes them enroute. If you are sending them by post or courier to an overseas address, then that’s an export, even if they send them via a UK distribution centre.
If you send them to a UK address for collection and onward shipping to Ireland, that’s a UK sale.
If you sell them to an Irish customer over here who plans to take them back home, then you need proof that he is taking them directly overseas. In the latter case, I’d probably suggest charging the UK VAT.

[HeatherD]

Thanks Claire, that sets it out really clearly. We’re sending from the UK direct to the customer’s home in the ROI, where the product will be installed and used, so on that basis I’m confident we don’t need to charge VAT. Thanks!