Reply To: VAT on Online Advertising



If your business sells certain digital services to consumers in the wider EU, from 1st January 2015 you have to charge them local VAT based on where they used the service.

Instead of having to register for VAT with all the different countries in the EU where you may have customers, you can register with HMRC in the UK to use their “Mini One Stop Shop” (MOSS) and report and pay the VAT you charge under these rules to HMRC instead.

Please note, you have to charge this local VAT even if you are not registered for UK VAT!

Supplies to businesses, and sales of physical goods, are not affected by these new rules.

Outside EU – outside the scope

You will need to have proper systems in place to capture the data.

Kind Regards