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harvey2009
26th June 2009, 11:48
Hi there,

As part of my business, I have a website focused on the US
market.

I am a UK limited company.

I am selling electronic books and information to both
businesses and consumers in the US.

My customers are all located in the United States.

I am based in the UK and am VAT registered.

My question is, should I be paying VAT on my US sales to US consumers
from my US hosted site.

I though I didn't have ti pay VAT on US sales to US business and consumers...

But, I recently had VAT inspection and got a letter a month later with the following:

The letter said that "the VAT liability of services supplied to overseas
customers often varies according to the nature of the services themselves, the business and/or EU status of the customers, therefore much can hinge on how we characterise the services provided."

"I shall be in touch on this matter..when I receive the requested advice from my colleagues".

Ciould you tell me whether I am likely to have to pay the VAT on the US sales to those in the US.

Thank you so much for your help.

Harvey

ServWise
26th June 2009, 13:30
To be safe call HMRE, but AFAIAA you should never charge VAT to customers outside the EU.

harvey2009
2nd July 2009, 10:37
thank you - much appreciated