VAT on sale to uk customer

W

Will

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I've just become VAT registered and am about to invoice a customer in the UK, but I'm not sure if I should charge VAT on the invoice. I've been reading different opinions on this issue.
The first is that if the customer is VAT registered I shouldn't charge VAT but should note their VAT number on the invoice - otherwise I should charge VAT.
The other opinion I've read is that because I'm selling outside of Ireland I should charge VAT at at zero rate. A third opinion is that I shouldn't charge VAT at all.

Does anyone know the correct way to do this? Thanks for any help.
 
You don't have to invoice customers in other EU countries for VAT provided the customers are VAT registered themselves. As far as I know the first option is the correct one.

By the way the reverse is also true. You don't have to pay VAT for purchases from other EU countries provided you provide your VAT number.
 
Thanks Extopia, didn't realise that I didn't have to pay EU VAT if I provided a VAT number too :)
 
First is true however also depends on whether you are providing a good or service and where the product is delivered, i.e. if you are providing goods and they are delivered to the UK then no problem. If it is a service would have to determine where the service was provided.
 
Starting to get a bit confused again!!!
Ok, here's the scenario... I've built a website for a customer in the UK who isn't VAT registered. Included in the package is domain name (.com)registration and Internet hosting for 1 year. Because I'm selling web space I don't see this as a service - so its a product, and so is the web site.
So am I correct in invoicing the full amount including VAT @ 21%???
 
ok the customer is not vat registered so you have to charge VAT at 21% so it is a service. Wouldn't be an expert but if you are hosting a website Is the main server in Ireland so would the service be provided in Ireland ? You might want to get expert advice if you are going to have a lot of customers outside of ireland
 
The customer is not VAT registered. Therefore you must charge the VAT. It's that simple.
 
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