Simplyvat.com’s 6 Essential VAT Tips For E-Tailers Selling Abroad

Whether you are a small independent retailer selling to a niche market in eg. France from your living room in Brighton, or you now have a big international online presence like ASOS, you need to be aware that you have VAT obligations when selling online abroad. 

There are rules and regulations which cannot be ignored.  SIMPLYVAT.com outlines what you need to know..

1. Know How Much You Are Selling & To Where…

Every country applies set thresholds. If your sales exceed those thresholds in any country, you will have to VAT register there.  It can take up to 6 weeks so make sure you monitor your sales in each country to know when you will need to register.  Late registration can mean penalties levied against you. 

2. VAT Registration Process

Registering for VAT is a legal process which will require you to provide official documents. Once your VAT registration is approved you will get a VAT number. 

3. Do Your Invoices Contain The Correct Information?

Each country has different criteria for what information should be presented on an invoice – are you applying the right VAT rate and is the correct information on the invoice?

4. VAT Returns

Once registered, you will have to submit VAT returns to the tax authority.  Each country has its own frequency for filing returns, this could be monthly, quarterly or bi-monthly.

5. Intrastat

Depending on the size of your business, there are additional Intrastat returns required when your sales reach  the set intrastat thresholds.  These statistical returns are a way for European governments to collect information about the movement of goods between the EU countries.  Failure to provide the information once you are liable is a criminal offence and can lead to fines.

6. Selling Through Marketplaces?

You may think you are exempt from VAT regulations if you are selling through the market places such as Amazon or Ebay – you are not!  If you sales exceed the VAT Registration Thresholds in the country(ies) you are trading, you have the same obligations as a registered business selling to consumers.  The tax authorities are known to trawl through such marketplaces looking for potential violators.

How Simplyvat.com Can Help..

If you think you may need to register, don’t hesitate to talk to us. 

• We help you get VAT registered.
• We give you the right country information to make sure your invoices are compliant.
• We help you submit your VAT returns and if necessary, your Intrastat declarations on time

SIMPLYVAT.COM HELP YOU MANAGE YOUR INTERNATIONAL VAT OBLIGATIONS SO YOU DON’T HAVE TO.

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