What Address on a VAT Invoice?

[EmbraFella]

I recently purchased something from ebay. It cost about a fiver. On closer examination of the listing, I discovered the item came from Jersey from a seller with a Hong Kong address and a UK VAT number. Out of curiosity I looked it up and found that they are registered via the HMRC Non Established Taxable Persons Unit. For the devilment, I contacted the seller and asked for a VAT invoice.

Now what address should I expect on the paperwork to make it a valid VAT invoice? HMRC's? Their warehouse in Jersey? Or their HK admin base?

I'm just curious.

 

[Scalloway]

As long as they quote a valid VAT number I don't think it would matter.

 

[lesvatadvice]

Good question.
VAT regulations refer to 'address,' without further qualification. I would expect to see the trading address rather than the admin address, but would not object to the latter.

 

[nick34785]

Isn't Jersey outside VAT area ? So why would they provide a vat invoice ?

 

[STDFR33]

Isn't Jersey outside VAT area ? So why would they provide a vat invoice ?

Because they have a UK VAT registration.

 

[Scalloway]

Isn't Jersey outside VAT area ? So why would they provide a vat invoice ?

VAT rules on selling goods into the UK.

https://www.gov.uk/guidance/vat-wha...oods-in-the-uk#threshold-for-distance-selling

 

[EmbraFella]

Thanks. I'm really hoping they send me one just to satisfy my curiosity.

However my usual experience of dealing with problematic UK ebay traders, who turn out to be from China, is that they'll string me along until it's too late to leave feedback or raise a case against them, then they go silent.

 

[nick34785]

VAT rules on selling goods into the UK.

https://www.gov.uk/guidance/vat-wha...oods-in-the-uk#threshold-for-distance-selling

"If you’re outside the EU and you sell goods to customers in the UK then this not classed as distance selling for VAT purposes. The Channel Islands are not part of the EU.

Your customers should be aware that they may have to pay UK import VAT on the goods when they arrive in the UK. They may also have to pay duty."

So do you have to provide a vat invoice when the sale is out of scope of vat ?

 

[nick34785]

So do you have to provide a vat invoice when the sale is out of scope of vat ?

I mean specifically a foreign based seller selling a product out of scope of UK VAT, do they need to provide a UK VAT invoice?

 

[lesvatadvice]

A VAT invoice is an EU requirement, where a taxable supply is made by a taxable person. So, if the supplier is outside the EU, or is not in business, there is no obligation to provide such a document.
But, anybody in business will provide some document to evidence the sale. That is simply good practice.

 

[Gecko001]

This looks like dropshipping by someone in HK using a supplier in the Channel Islands.

I used to buy low-value car parts on Ebay for DIY repairs on my own car. Many of the suppliers were based in the Channel Islands as they were exploiting a loophole where no import duty was charged by the UK on items costing less than, I think, £15 from the Channel Islands. I believe this loophole has been closed. I am a bit surprised that these companies in the Channel Islands are still trading as their competitive advantage would surely have disappeared when import duty was added.

 

[nick34785]

A VAT invoice is an EU requirement, where a taxable supply is made by a taxable person. So, if the supplier is outside the EU, or is not in business, there is no obligation to provide such a document.
But, anybody in business will provide some document to evidence the sale. That is simply good practice.

Ok, so I was just referring to the OP's question, and pointing out that he shouldn't expect a VAT invoice, as the sale was out of the scope of VAT. Still he should provide a regular invoice (from HK) on request.
The seller might have other stock in the UK and will use it'ss VAT number for those sales.

The OP was probably importing the product himself (maybe without realising that), it might not have been stopped by customs because of the low value.

 

[EmbraFella]

Oooo these VAT regs are a minefield.

So, I bought something effectively from Jersey, imported it without realising, and there was no VAT on the purchase because Jersey is outside of the EU. And if I do get a VAT invoice, it'll say VAT at 0%. OK.

So what advantage is there to the seller to be VAT registered? I could understand it (sort of) if they were buying things from the UK, but as far as I can see, they sell physically fairly small low valued items from China to the UK via a stock pile in Jersey which gives them the advantage of speedy delivery.

I told you I was curious

 

[Gecko001]

Oooo these VAT regs are a minefield.

So, I bought something effectively from Jersey, imported it without realising, and there was no VAT on the purchase because Jersey is outside of the EU. And if I do get a VAT invoice, it'll say VAT at 0%. OK.

So what advantage is there to the seller to be VAT registered? I could understand it (sort of) if they were buying things from the UK, but as far as I can see, they sell physically fairly small low valued items from China to the UK via a stock pile in Jersey which gives them the advantage of speedy delivery.

I told you I was curious

Did the item you received have a green Custom's sticker on the package, when you received it in the post? They usually do if from Channel Islands or outside the EU.

 

[EmbraFella]

By chance the packaging was still in the bin - no green sticker, but a returns address in Bristol, and after a little detective work, the address is a Chinese ecommerce fulfillment centre. Of course, that's not to say it was the dispatch address, but it looks likely.

So, I reckon it now seems that the item was sent from within the UK, not Jersey, and my VAT invoice should read 20% right?