Being charged VAT on Estate Agent Fees - Non UK resident ??

Being charged VAT on Estate Agent Fees - Non UK resident ??

Postby blgdave on Mon Sep 06, 2010 5:13 pm

Hi Folks,

Go easy on me as I am new here and a bit lost!

I left the UK just three months ago and now live in New Zealand as full NZ resident and NZ tax payer here. Two weeks ago my house in the UK sold and as a result today I have been hit with an Estate Agents Invoice that has full VAT stuck on to it.

A P85 form is already in and regsiterd with Inland Revenue people, and I am down as a non-UK tax payer. A different department I know, but worth a mention maybe?

I am wondering if it is still right for the Agent to charge me VAT for their services? If I do have to pay them, can this be claimed back in any way?

Many thanks in advance for any advice or guidance.

Cheers

Dave...
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Re: Being charged VAT on Estate Agent Fees - Non UK resident ??

Postby pawncob on Mon Sep 06, 2010 9:12 pm

The agent is providing a service in the UK, so he has to charge VAT. The service can't be exported.
With a pinch of salt take what I say, but don't exceed your RDA
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Re: Being charged VAT on Estate Agent Fees - Non UK resident ??

Postby Generix on Tue Sep 07, 2010 9:35 am

pawncob wrote:The agent is providing a service in the UK, so he has to charge VAT. The service can't be exported.


Indeed, most estate agent services will fall within the exception to the basic rules, and the place of supply for 'land related services' such as the ones estate agents provide is where the land is physically located.

Therefore despite you being non-tax resident in the UK, UK VAT is still chargeable.

I can't think of any way you can recover this (presumably personal) expense.
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Re: Being charged VAT on Estate Agent Fees - Non UK resident ??

Postby blgdave on Tue Sep 07, 2010 12:32 pm

Ahh right, so it looks like I am trapped into paying it and then trying to claim it back by some means or other. Most likely not get it back but nothing to loose by trying. I thought I had seen the end of UK tax for good!!

Thanks for your input folks.

Cheers
Dave...
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Re: Being charged VAT on Estate Agent Fees - Non UK resident ??

Postby jd4238 on Mon Sep 13, 2010 1:36 pm

I own a small little business that operates a little into the European market....

I've found it's just best to employ a decent, reputable company when dealing with such complicated matters.

There are a lot of VAT specialist companies out there, some good. some bad. I'm speaking from experience.
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