Reclaiming foreign VAT on expenses

25th October 2017 | Posted in: Business Tax, VAT Foreign VAT

If your business has suffered VAT on expenses incurred in another EU country, for example overseas hotel and restaurant bills, then it is possible to reclaim the foreign VAT.

The foreign VAT must not however be reclaimed on the UK VAT return, but by using HMRC ‘s VAT online services system.

The foreign VAT refund claims can be made either quarterly or annually, but there is a de-minimis amount that may be reclaimed quarterly.

The conditions for being able to reclaim the foreign VAT are that:-

  • the business must be VAT registered in the UK
  • not be registered for VAT in the EU country nor have a place of business there
  • not make supplies of goods or services in that EU country, except for transport services

We can assist with your refund claims if this applies to your business, so please do not hesitate to Contact Us.

Hospitality and Leisure

VAT returns

If you feel we could help you and would like to discuss any of the above, please contact Anne Melville BA CA on 0131 317 7377 or email to anne.melville@jsca.co.uk.
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