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Where Taxpayers and Advisers Meet

Recharges to US company

Nonimous
Posts:90
Joined:Thu Jul 16, 2009 12:39 pm
Recharges to US company

Postby Nonimous » Wed Dec 13, 2017 5:56 pm

Client is a UK company with a US holding company

Law firm has done some work which should have been billed to the US holding company, but have instead billed it to the UK

I don't see a problem with the UK company just recharging it to the US company with no VAT

However, what I *am* concerned about is that the input VAT may not be recoverable by the UK company, despite its being invoiced to them, if the work was not done *for* them and they did not ask it to be done

Lawyer is currently being awkward about cancelling and reinvoicing and I am tempted to tell client just to let them be awkward but insist invoice is redone

Any other thoughts please?

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