Re-invoicing a non-vattable item.

[Kirkland]

Please clarify the position on a VAT issue.
We receive an invoice for flights (which is non vatted) and it goes through our books. We then re-invoice another company for the same item. Do we then have to charge VAT?

I'd appreciate some help with this. Thanks.

[Lambs]

D,

Unfortunately, this can become quite a complex query and it will depend very much on the nature of the supply you make to your customer company and your relationship with the customer - e.g. are you acting as an agent for the customer, when you 'buy' the service?

We do have some specialised VAT consultants who frequent the forum, being Steve Allen / Andrew Needham of VAT Solutions, and another firm called VATEase.

You may well benefit from contacting either of them directly.

Regards,

Lambs