Exporting luxury fashion goods from UK to Japan - can VAT be reclaimed?

Discussion in 'International Business' started by Davidraa, Jan 14, 2021.

  1. Davidraa

    Davidraa UKBF Newcomer Free Member

    1 0
    So basically I am registered as self employed and have been running online business where I buy luxury fashion goods in the UK or EU, get them delivered to a freight forwarder in the UK, who then repackage and send them direct to my customers in Japan.

    I have been VAT registered for this purpose in order to reclaim VAT on stock purchases made in the UK.

    I am returning back to Japan by March and I am trying to see what my options are for continuing my business from there. I will fill in the form to HMRC to inform them I am no longer self employed in the UK and pay tax owed for that period.

    What is concerning me is VAT registration. I want to know if I am able to retain my VAT registration to reclaim VAT on stock purchases made in the UK to be sold in Japan.

    Can any of you provide any advice on this? Looking online, it appears that for non UK residents, you have to be VAT registered for when you are selling goods into the UK, but for my situation where I am buying stock in the UK to export to Japan, I'm not sure what the rule is? Thanks
    Posted: Jan 14, 2021 By: Davidraa Member since: Jan 14, 2021
  2. Chris Ashdown

    Chris Ashdown UKBF Legend Free Member

    12,154 2,538
    I would imagine you would have to have a company to run the UK side which would be VAT Registered and run the company from abroad

    How you would transfer money etc I have no idea

    Maybe a good time to speak to a good accountancy firm who are experienced with international trading
    Posted: Jan 14, 2021 By: Chris Ashdown Member since: Dec 7, 2003