VAT when acting as an Agent
Posted: Thu Oct 11, 2018 9:33 am
Hi All,
I am unclear on a particular area concerning VAT and acting as an agent.
From my understanding you are only liable on VAT on your commission amount and not the monies due to the principal. If the principal is EU based or non-EU would these be then treated as usual zero rated? Would you also be liable to pay VAT in the country the principal is based or just the country that you are operating from (ie. the UK)?
Would there be any situation when acting as an agent that you would become liable for VAT in the principals country?
Thanks in advance.
I am unclear on a particular area concerning VAT and acting as an agent.
From my understanding you are only liable on VAT on your commission amount and not the monies due to the principal. If the principal is EU based or non-EU would these be then treated as usual zero rated? Would you also be liable to pay VAT in the country the principal is based or just the country that you are operating from (ie. the UK)?
Would there be any situation when acting as an agent that you would become liable for VAT in the principals country?
Thanks in advance.