TOP VAT TIPS - General rules on place of supply

Place of Supply

The place of supply determines which country's VAT rules should be used and how a business has to be accountable for the VAT.

What is the place of supply?

According to the HMRC website -The place of supply is simply where a supply is made and where VAT may be charged and paid.

If you provide a service, deciding where the VAT is to be charged and paid can be quite complicated. This would depend on:

• Whether you have more than 1 business location
• The kind of service you provide
• The place where your business is located or
• The place where your business customer is located

General Rules for place of supply:

1. If you supply a service to a business customer.  The place of supply therefore is where the customer is located
2. If you supply a service to a non- business customer. The place of supply therefore is where the supplier is located.

Should you wish to discuss this or if you would like further information please contact us by:

Tel: +44 208 601 4600                 

E-mail: info@meridianglobalservices.com