Steve Browning

I will be alerting my ex-employer of my suspicions. Have no fear.

I couldn't find him on Companies House and Funktion Junction Entertainment isn't a company. I am keen to track him down and see to what extent he can be banned from being a company director (if he is one).

Use this if you need to check a number - https://vat-search.co.uk/

Blimey. A lack of erections too!!!

The system used for checking VAT numbers - https://ec.europa.eu/taxation_customs/vies/ - requires the 'checker' to enter a valid VAT number. The UK VAT numbers are no lo0nger valid EU VAT numbers (although NI ones are). At least it's all straightforward now.

Doctor Feelgood

UK businesses no longer have access to the concept of triangulation. In the example I gave above, our UK business would have to register for VAT in Portugal or the contract be novated to the Spanish company so they can use triangulation. If the business is UK based then they have to be aware of their supply chain. certain things are no longer possible in the same way. A lot depends on whether the UK business is VAT registered or not.

Indeed. I've just been on a call regarding a contract (with the UK) to supply expensive goods, produced in Portugal and delivered to France.; No longer possible.

Ultimately, the conclusion is that private individuals buying 2nd hand gear from other private individuals (in a different country) will now pay VAT when they didn't before. Businesses can sort themselves out and take their own advice.

https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/948978/December_BordersOPModel_Medium.pdf Pages 19 and 33 refer. It was updated this morning. Page 33 states - "With regards to VAT on imports of goods in consignments not exceeding £135 (excluding Excise and consumer to consumer consignments), we will be moving the point at which VAT is collected from the point of importation to the point of sale. This will mean that UK supply VAT, rather than import VAT, will be due on these consignments and therefore accounted for via the VAT return." This seems a little contradictory because the point of sale for Thomann must be Germany. I think we need to be careful.

The latest HMRC guidance states that the responsibility for VAT on small consignments (under £135) rests with the seller at the point of sale. I believe that will mean German VAT. The UK registration was the result of distance selling, which is an EU concept. I'll find the document again and post it. It was updated on 31/12.

Yes. I'd appreciate some more clarity. Is it being stated that the EU trades on WTO terms with some countries (I'm talking pre-Brexit here)? I am genuinely interested because I haven't looked at it myself (had no need).

Are you implying ....

If Brooks were to use an Italian warehouse using a suspensive regime (a Customs or bonded warehouse) they might find it easier.

Wise words. It makes sense to delay, if you can. Aside from anything else, HMRC are not ready for it. Let the dust settle.

If you mean a swap of goods with a cash difference? That is two separate sales. VAT looks at each transaction on its own.

Let me give you 2 examples (pre and post Brexit) Private purchase Pre You pay £1000 on the BC forum to a seller in Germany. They send you the bass and that's it. Post You pay £1000 to the seller and you then get a bill for VAT on the 1000 + delivery cost + the £10 handling fee. Let's say delivery was £30 - you end up paying £1216 (£206 VAT plus the admin). Business purchase (not Thomann for this purpose) Pre You pay £1190 + £30 delivery (yes, German VAT was 16% for 6 months but that's not important for this illustration). The total is £1220. Post You pay £1000 (the net value) + delivery + handling. The cost is as above £1216 The net effect is that the purchase through BC now costs you a lot more.

No.

The answer was given in my 3rd post in this thread. Refer to that and you can't go wrong.

As I have said, this is nothing but a policy document. It tells us nothing about the Law. Do not use it as any form of guidance. It is nothing of the sort.

The bloke down the pub is the usual culprit! To have an obligation to register in the UK, you have to make 'taxable supplies' where the place of supply is the UK. When goods remain within the UK there is a clear obligation. A UK business supplying out of the UK is now exporting and will not charge VAT. Conversely, a non-UK business exports to the UK and the recipient (whether a business or individual) is responsible for dealing with the VAT. I won't bring incoterms into account.

Again wrong. A non-UK business only has to register if it sources and delivers within the UK.

Has the bottom fallen out of their world, like the guy a few posts above?

I guess we're about to find how important a market the UK is (for EU businesses) against the rest of the world. I wouldn't be surprised if the likes of Thomann (or similar) could live without us quite easily.

That Scandinavian company has got it wrong. They will only need a UK VAT registration if they source and deliver within the UK. They won't be able to register in the UK if they just sell to the UK.