- HM Revenue and Customs is investigating the VAT status of online traders in the UK
- They are contacting businesses registered at the address of their agent or a serviced office
- The purpose is to verify if these businesses are established in the UK
- If not established, they will be treated as a non-established taxable person (NETP)
- The initiative aims to ensure correct administration of VAT by online marketplaces
- Marketplaces should withhold VAT on sales made by NETPs and remit it to HMRC
- The GBP85,000 VAT registration threshold does not apply to NETPs
- NETPs must register for VAT as soon as they make supplies to UK recipients.
Source: answerconnect.cch.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
Latest Posts in "United Kingdom"
- City of Portsmouth College v HMRC: VAT on Government Grants for Free Education Services
- Understanding VAT Obligations and Reliefs for Charities in the UK
- Guide to Claiming VAT and Import Duty Repayments: Eligibility, Process, and Requirements
- AI in Tax: Balancing Innovation and Risks in a Rapidly Evolving Landscape
- Deos Group.co.uk Ltd Wins Appeal Against HMRC on VAT Input Tax Disallowance and Penalty
