VAT & Brexit

VAT & Brexit

Sales to UK

	B2B	B2C
Goods (Note 1)	Export No Irish VAT Proof of export needed No UK VAT reg	Export No Irish VAT Proof of export UK VAT reg may be necessary (Note 3)
VAT 3	No T1 (0%) entry No PA1 entry	No T1 (0%) entry No PA1entry
RTD	As normal (Note 4)	As normal (Note 4)
Intrastat & VIES	N/A	N/A

 

Sales to UK

	B2B	B2C
Services (Note 2)	Export No Irish VAT No narrative on invoice No UK VAT reg	Depends on (i) place of supply and (ii) use and enjoyment provisions (Notes 5 & 6)
VAT 3	No T1 entry No PA1 entry	No T1 entry (Note 5) No PA1 entry
RTD	As normal (Note 4)	As normal (Note 4)
Intrastat & VIES	N/A	N/A

Notes

1. Sales of goods to NI – treat as EU sales (ICA)
2. Sales of services to NI: treat as part of UK
3. Goods not exceeding STG£135 in value:

• Irish supplier must register for and account for UK VAT on Sale

Goods exceeding STG£135 in value:

• Either Irish supplier or UK customer pays the UK VAT on importation into UK
• If this is the Irish supplier, it will have to register for / account for UK VAT on Sale

4. Value of supply to be inserted into appropriate VAT rate category (E5 – P1)
5. Irish VAT to be accounted for only in small number of cases under “Use and enjoyment” provisions:

• Hiring of moveable goods
• Hiring of means of transport
• Telecommunications services
• Financial services (but, not accountancy / advisory)

6. Place of supply rules to be considered. Certain services which are deemed to be provided where the customer is established will require UK VAT registration
7. The above deals only with the more straightforward sales. If you are engaged in, for example, distance selling, transporting goods abroad temporarily, etc, further guidance will be necessary.

 

Purchases from UK

	B2B
Goods (Note 1)	Import No UK VAT Irish VAT on importation VAT on value including costs (Note 3)
VAT 3	T1 (Note 6) T2 (Note 4) PA1 (Note 3)
RTD	Boxes PA2 – PA4 (Note 5)
Intrastat & VIES	N/A

 

Purchases from UK

Services (Note 2)	Import No UK VAT Reverse charge
VAT3	T1 T2 (Note 4) No PA1 (re goods only)
RTD	Boxes PA2 – PA4 (Note 5)
Intrastat & VIES

 

Notes

 

1. Purchases of goods from NI – treat as EU acquisitions (ICA)
2. Purchases of services from NI: treat as part of UK
3. Costs include customs duty, transport, handling, insurance and transportation costs. This value is input into box PA1

Can pay on importation (but payment can be deferred until 15^th day of following month), or can opt for postponed accounting

4. Depends on VAT recovery position
5. Box PA2 – value of (i) goods and services from EU and (ii) postponed accounting purchases from non-EU and (iii) VAT free imports

Box PA3: value of goods and services for resale (all, including Ireland)

Box PA4: value of goods and services not for resale (all, including Ireland)

6. If VAT has already been paid, no entry in T1. If availing of postponed accounting, input into T1
7. Customs Duty is not covered in this advice note. However, it is important that all of the import documentation is retained. It will be needed for VAT and other reasons
8. The above deals only with the more straightforward purchases.