Constable VAT Consultancy LLP

HMRC have today issued Revenue and Customs Brief 53/08 which publicises a new requirement for UK businesses making taxable supplies of  services to business customers in other EU countries, where the customer is required to declare the VAT due under the reverse charge procedure. From 1 January 2010 EC Sales Lists must be completed in respect of these transactions.

The Brief is intended to allow businesses to consider system changes that may be necessary prior to this change. It is essential that affected businesses read the Brief and begin planning now for this new requirement. The Brief can be viewed by clicking here.

The lists will not be required for:

• supplies which are exempt from VAT in the Member State in which the supply takes place.
• B2B supplies where the recipient is not VAT registered.
• B2C supplies.

Please contact us if you would like to discuss how this new requirement will affect your business.