VAT on import to Ireland


VAT on import to Ireland

Postby seyates on Thu Oct 07, 2010 5:10 pm

I am a UK business registered for VAT. I have recently sold goods to a County Council in the Republic of Ireland. The goods in question are being shipped directly from my supplier in the USA to Ireland. The carrier is requesting a payment for VAT before the goods are released to the customer. As I am not registered for VAT in Ireland is there any method by which I can reclaim the VAT.
seyates
 
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Re: VAT on import to Ireland

Postby ladyeleanor on Thu Oct 07, 2010 6:40 pm

Dear Seyates

It's my understanding that if it is you who is importing the goods into Ireland from outside the EC (as opposed to your customer), you have ownership of the goods in Ireland for a period of time before the goods are delivered to your customer. This means that you would be making a supply of goods in Ireland and could be liable to register for Irish VAT subject to their VAT registration threshold.

There is a mechanism by which VAT can be reclaimed from EC member states by EC and non EC businesses, however, if this VAT has been incurred in relation to you making supplies of goods or services in Ireland (which your email suggests), the Irish authorities may reject the claim.

If your customer had imported the goods into Ireland they would have been responsible for paying the import VAT and they would take title to the goods on import which would mean that you did not make supplies in Ireland but in a location outside of the EC.

If my understanding of the situation is correct, the only way for you to reclaim the import VAT would be to register for VAT in Ireland.

If I have misunderstood, please correct me.

Regards
ladyeleanor
 
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Re: VAT on import to Ireland

Postby Generix on Fri Oct 08, 2010 10:11 am

seyates wrote:I am a UK business registered for VAT. I have recently sold goods to a County Council in the Republic of Ireland. The goods in question are being shipped directly from my supplier in the USA to Ireland. The carrier is requesting a payment for VAT before the goods are released to the customer. As I am not registered for VAT in Ireland is there any method by which I can reclaim the VAT.


As poster above suggests is right.

The solution would be to sell the goods T1 or DDU to the customer in Ireland.
Do you adore to transfer your artistic and inventive qualities to renovate a part type? Perhaps your friends who tour your sanctuary head remarks about want they could levy you to change their premises.
Generix
 
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