# Can I reclaim German VAT?



## Dinarius (28 Feb 2007)

I am a photographer registered for VAT.

I would like to buy a lens from a German online dealer.

Can I reclaim the 19% VAT?

Many thanks.

D.

ps...for those that might be interested, here's the dealer's website. Compared to Ireland, these prices are excellent.

www.ac-foto.com


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## Towger (28 Feb 2007)

Yes you can. If you supply them your VAT number you should not have to pay it in the first place.


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## ClubMan (28 Feb 2007)

Our company accountant told me recently that claiming _VAT _back across _EU_ borders was hassle - not sure if that's actually the case? But obviously it's easier to supply the _VAT _number when ordering and have the order charged ex-_VAT_.


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## Rhino 1 (28 Feb 2007)

I am no VAT expert but i think Clubman's accountant is correct, it can be problematic caliming VAT back from other states.

Towger might be getting confused with the VAT arrangement (called 4th schedule) that professional service providers have in place where they if get advice from another EU professional service provider then the recipient can self account for the VAT.

This does not apply to the acquisition of goods.


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## sparkey (28 Feb 2007)

Rhino 1 said:


> Towger might be getting confused with the VAT arrangement (called 4th schedule) that professional service providers have in place where they if get advice from another EU professional service provider then the recipient can self account for the VAT.
> 
> This does not apply to the acquisition of goods.


 
Not correct
I import a lot of product from the EU from vat reg companies.
I just quote my vat number on my order to my suppliers located in the EU and they ship to me vat free.


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## ClubMan (28 Feb 2007)

Same here ordering _IT _related products for the company.


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## Hurling Fan (28 Jun 2007)

Hi, Silly question but presuming that you import something from an EU country and you quote your VAT number you don't have to pay the VAT to them and you then pay it in Ireland - surely the VAT must be paid in one EU country or another.  Thanks.


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## Graham_07 (28 Jun 2007)

Hurling Fan said:


> Hi, Silly question but presuming that you import something from an EU country and you quote your VAT number you don't have to pay the VAT to them and you then pay it in Ireland - surely the VAT must be paid in one EU country or another. Thanks.


 
IF the goods are expense goods, such as in the OP's case, a camera for a photographer, you do not pay the VAT in the other EU state and thats the end of the matter. ( apart from the bookkeeping entries ). If that had been an Irish purchase, you'd pay the VAT to the supplier and claim it back on your VAT return, result - the same.

If the goods were for re-sale here, then again you don't pay the EU supplier. You sell the goods and pay the VAT on the selling price. Ultimately, the cashflows work out the same. Less to the supplier, more to Revenue. You still just end up paying VAT on your profit.


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## BlueSpud (28 Jun 2007)

As well as supplying your vat number, be sure to TELL them you wish the purchase to be vat free as you are buying within the EU, and conditional on a vat free sale.

Some vendors are not fully up to speed on this.


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## Nige (28 Jun 2007)

Technically, you do pay the VAT in Ireland when you import goods without VAT. However, as you self account, you charge yourself the VAT and then reclaim it in the same return, there is no payment of VAT.


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## z108 (28 Jun 2007)

This may be a silly question.. and its  curiosity which desires to know rather than any desire to defraud revenue and the information could come in handy applied to a different example.
Could  a person get a *vat free* camera by telling revenue they want to take photos of people part time  ? But then just say it was an unsuccessful venture  and declare zero income for it?

I'm just wondering how easy  it is  to legally avoid VAT for someone in this or similar part time ventures.


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## z109 (28 Jun 2007)

sign said:


> This may be a silly question.. and its  curiosity which desires to know rather than any desire to defraud revenue and the information could come in handy applied to a different example.
> Could  a person get a *vat free* camera by telling revenue they want to take photos of people part time  ? But then just say it was an unsuccessful venture  and declare zero income for it?
> 
> I'm just wondering how easy  it is  to legally avoid VAT for someone in this or similar part time ventures.



My understanding is that:
1. You would have to be registered for VAT in this country.
2. You can only claim for expenses that are directly related to your business, so you would have to declare photography as at least part of your business.
3. If you were audited (which the revenue are becoming quite keen on for the self-employed/small companies) the burden of proof would be on you to account for the expense as a vatable expense.


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## contemporary (29 Jun 2007)

it would be straight forward enough, I register a business name as Me t/a the photo man, I apply for a VAT number from rev for VAT and get it, I buy my camera ex vat, I then deregister for vat and from the cro and do a form 11 to say i havent got any income from the business, so long as there is a couple of months between registering and deregistering it is possible, business are allowed to fail sadly...


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## ang1170 (30 Jun 2007)

1. That's a lot of time and effort (and probbaly cost) to save not very much.

2. The Revenue are not stupid.


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## z108 (30 Jun 2007)

ang1170 said:


> 1. That's a lot of time and effort (and probbaly cost) to save not very much.
> 
> 2. The Revenue are not stupid.



I'm wondering if some chancers are out there who might have their whole lives paid for minus VAT using similar schemes..e.g laptop for the kids etc

This is what intrigues me.


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## ang1170 (30 Jun 2007)

sign said:


> I'm wondering if some chancers are out there who might have their whole lives paid for minus VAT using similar schemes..e.g laptop for the kids etc
> 
> This is what intrigues me.


 
I'm sure there are such people out there - in the same way that there are shop lifters and armed robbers or whatever (i.e. people who do illegal things, of varying degrees of seriousness).

However, they're always open to being audited by Revenue (and the more dodgy transations there are, the more likely this is), when such activities would be discovered (and anyone who's had a VAT audit will know this: they're extremely detailed).


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