24 May 2023| CATEGORIES: e-Commerce, VAT, VAT registration| TAGS: digital services, e-commerce, ESS, GST, VAT
The trend for businesses to provide services digitally or online has accelerated significantly in recent years, particularly following the COVID pandemic. The Value Added Tax (VAT) and Goods and Sales Tax (GST) compliance obligations of businesses providing digital or electronically supplied services (ESS) are increasing. Tax authorities increasingly require overseas businesses to register for and charge local VAT/GST on their B2C supplies of ESS.
3 May 2023| CATEGORIES: Budget, VAT exemption| TAGS: Exemption, Spring Budget 2023, VAT change
A change in the VAT treatment of medical services carried out by non-registered staff who are directly supervised by pharmacists was announced in the Spring Budget 2023. From 1 May 2023 these services will be VAT exempt in line with other registered health professionals providing medical services to the public.
28 April 2023| CATEGORIES: Exports, Uncategorised, VAT, zero rate| TAGS: Exports, HMRC, New guidance, zero rate
HMRC have recently updated guidance in Notice 703 to clarify what is considered to be satisfactory evidence to zero rate exports. Businesses that export goods should review the guidance to ensure their record keeping meets these standards.
25 April 2023| CATEGORIES: VAT-free shopping| TAGS: tourism, VAT-free
Businesses are once again lobbying the government to re-introduce tax-free shopping for tourists. 90 business leaders have signed a letter to the Chancellor Jeremy Hunt warning of the effects the withdrawal of the scheme in 2021 is having on the UK economy.
20 April 2023| CATEGORIES: Customs, Spring Budget 2023, VAT| TAGS: Customs, HMRC, Spring Budget 2023, VAT
The Chancellor of the Exchequer, Jeremy Hunt, presented the Spring Budget to the House of Commons on 15 March 2023. This article looks at the main points of interest from a VAT and Customs perspective. The full set of Spring Budget 2023 documents are available here.
3 March 2023| CATEGORIES: Brexit, Northern Ireland Protocol, The Windsor Framework| TAGS: Brexit, Customs, Northern Ireland, VAT
The UK Government has reached an agreement in principle with the EU, aimed at addressing post-Brexit problems with the Northern Ireland Protocol. The Windsor Framework, replaces the old Northern Ireland Protocol. It delivers free-flowing trade in goods between Great Britain and Northern Ireland through a new green lane.
3 March 2023| CATEGORIES: digital newspapers, Supreme Court, zero rate| TAGS: VAT News
The UK Supreme Court, in the case of News Corp UK & Ireland Ltd v Commissioners for His Majesty’s Revenue and Customs  UKSC 7, has ruled that digital versions of newspapers were not entitled to the VAT zero rating for newspapers before the legislation was changed to include them from 1 May 2020.
9 February 2023| CATEGORIES: Brexit, second-hand vehicles, VAT| TAGS: new VAT rules, Northern Ireland, second-hand vehicles
A new VAT-related payment scheme for businesses that buy second-hand cars in GB and move them to Northern Ireland or the European Union for resale is to be introduced. This puts Northern Ireland dealers in a comparable financial position to their counterparts in the rest of the UK. Under the terms of the Northern Ireland Protocol the VAT second-hand car margin scheme could no longer be used by dealers for these sales.
1 February 2023| CATEGORIES: VAT penalty regime| TAGS: New HMRC rules
HMRC has introduced a new penalty regime for VAT returns that are submitted late and VAT which is paid late. The way interest is charged has also changed.
13 January 2023| CATEGORIES: Uncategorised| TAGS:
HMRC has advised that from 1 February 2023, it will no longer issue VAT option to tax (OTT) notification receipt letters, nor provide confirmation that an OTT is in place – outside specific circumstances. OTT Notification by e-mail When notifying HMRC of an OTT of land or property by e-mail, HMRC request that the subject line …
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