Is there VAT on Stripe fees and does the reverse charge apply?

[redrock7]

Stripe are based in Ireland and therefore in the EU. From what I have been able to find out, Stripe are a payments facilitator and therefore Stripe fees are not VAT exempt, whereas PayPal is a financial service and therefore PayPal fees are VAT exempt.

This would mean I have to account for the VAT using the reverse charge system.

I use AccountsPortal and in their help guide, they give the following information:

Reverse Charge:

• VAT Treatment = 22 - Goods from EU Supplier and VAT Type = Standard Rate Reverse Charge
• VAT Treatment = 23 - Services from EU Supplier and VAT Type = No VAT

Do I select option 22 which says Goods from EU Supplier?

However, can you really describe Stripe fees as Goods? Are Stripe fees definitely not VAT exempt?

Any guidance or help you can give on this matter would be greatly appreciated. Thank you.

 

[DontAsk]

You seem to have also asked this on AccountingWeb. Have you tried asking Stripe?

Or even search the forum https://www.ukbusinessforums.co.uk/threads/vat-reverse-charge-applies-stripe-payments.394592/

 

[redrock7]

I tried asking Stripe, their advice is rather generic. My question is a bit more specific.

 

[macScot]

VAT reverse charge applies.