HMRC is introducing a new VAT penalty regime for VAT return periods starting on or after 1 January 2023. All businesses should familiarise themselves with the changes, particularly as certain businesses could be subject to penalties for the first time.
1 February 2023| CATEGORIES: New penalty regime, VAT
New EU VAT rules on e-commerce come into effect on 1 July 2021 which include the EU One Stop Shop Scheme being extended to Distance Sales within the EU. Our VAT alert summarises the changes.
19 March 2021| CATEGORIES: e-Commerce, VAT
In January 2021, the UK government introduced postponed import VAT accounting (PVA) for all imports of goods (from EU and non-EU countries). Businesses are urged to act now to take advantage of PVA wherever possible, ensuring they register to obtain the relevant evidence from HMRC to support the recovery of import VAT.
From 1 January 2021 there will be significant changes to the UK VAT treatment of goods sold to UK customers via an online marketplace including EU distance selling rules no longer applying to business to consumer (B2C) cross-border sales of goods between the EU and UK.
5 December 2020| CATEGORIES: Brexit, e-Commerce, VAT / GST ALERTS
From January 2021, EU distance selling rules will no longer apply in the UK, low value consignment relief will be abolished and the collection of VAT on imports of goods from outside the UK in consignments not exceeding £135 in value will move from the point of importation to the point of sale.
Rishi Sunak, the UK Chancellor of the Exchequer, has announced that from 1 January 2021 UK businesses that provide certain financial and insurance services, known as specified supplies, to EU customers will be entitled to reclaim VAT on the costs related to providing those services.
From 1 January 2021, goods sent from GB to the EU will be treated as exports (rather than dispatches) and subject to customs formalities at both the GB and EU borders. Import VAT and customs duty will be payable where applicable by the party importing into the EU.
After 31 December 2020, when the UK’s Brexit transition period expires, movements of goods between NI and the EU will be treated as intra-EU transactions, and movements of goods between NI and GB will be treated as imports and exports.
13 November 2020| CATEGORIES: Brexit, Northern Ireland, VAT
The Brexit transition period expires on 31 December 2020. After that date UK businesses will no longer benefit from EU VAT simplification measures, including distance selling arrangements.
10 November 2020| CATEGORIES: Brexit, e-Commerce, VAT
