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Where Taxpayers and Advisers Meet

VAT on consignment stock

SaPar16
Posts:3
Joined:Mon Apr 25, 2016 11:57 pm
VAT on consignment stock

Postby SaPar16 » Sun Dec 04, 2016 10:20 am

Hello everyone, We're running online shop selling fashion clothing. We're thinking about putting other brands on our website on consignment basis. We'll pass on the money we collected and only take commission for the goods sold. We're VAT registered, if other brands are not VAT registered, do we need to pay VAT on sales or only on commission? any advise will be very much appreciated! Many thanks in advance!

les35
Posts:635
Joined:Wed Aug 06, 2008 3:09 pm

Re: VAT on consignment stock

Postby les35 » Wed Dec 07, 2016 11:43 am

You will need to make sure your Ts & Cs are clear. If you are selling as agent, then your taxable income is your commission. However, that is different if the 'supplier' is in a different MS, as s47 treats you as principal for VAT purposes.

SaPar16
Posts:3
Joined:Mon Apr 25, 2016 11:57 pm

Re: VAT on consignment stock

Postby SaPar16 » Tue Dec 20, 2016 12:36 pm

Many thanks Les35!


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