Irish Company billing French Company - One Site based Consultant

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Logical99

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We have a eight-month contract to bill one site based consultant on a project in Paris. We understand that we need to appoint a separate company to pay the Consultant and pay the Frence Income Tax and Social Service Charges etc. The value of the contract is close to €150,000.00 and I am seeking advice on charging VAT. As the work is undertaken outside of Ireland by a Company Employee paying tax etc in France where do I stand with the VAT in France?

Thanking you in advance
 
Is this consultant self employed ? Or on payroll?

Regarding VAT

It's under the VAT reserve charge mechanism , no VAT changes hand/ is charged

BUT the reporting has to be done correctly by both entities
 
cally1990 said:
Is this consultant self employed ? Or on payroll?

Regarding VAT

It's under the VAT reserve charge mechanism , no VAT changes hand/ is charged

BUT the reporting has to be done correctly by both entities
Click to expand...
It may depend on what is being supplied here but there's a good chance that the company would have to register for VAT in France and charge French VAT to the customer. If supplies are being made in France by an employee of the company, the place of supply is likely France and if "site based" means that the supplies relate to property, the place of supply is definitely France.
 
cally1990 said:
Is this consultant self employed ? Or on payroll?

Regarding VAT

It's under the VAT reserve charge mechanism , no VAT changes hand/ is charged

BUT the reporting has to be done correctly by both entities
Click to expand...
I am the Director of the Company and also the Consultant that will be relocating to France for the 8-month period.
 
Reverse charge mechanism then for the VAT

Is your company registered for VIES?

Also


Have you spoke to your accountant about the below for the Irish side obligations?

A1 application for PRSI

Shadow payroll as you'll be over 183 days there or a PAYE exclusion order for Ireland

A posting declaration to the french authorities
 
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