Intrastat for services or not ?

[michel]

Hello,

I wonder if you can help me :

My company is based in teh UK and is VAT registered in the UK.

In 2009,I frequently provided commercial advice to a US company which is VAT registered in NL (but not established).
I did not charge VAT (untangible services)

In 2010 I hope that I will keep on providing such services to this company .
If I mention its NL VAT number on the invoice, will I be liable to Intrastat for services ?

Many thanks in advance

M

[Extrastat]

Hello Michel,

I see that you are already aware of the existence of Intrastat returns for services which is great.

Regarding your obligations in 2010, I understand that your client is a US-based company VAT registered in Holland.
Here the key information is the country of establishment, not the one of registration.

Since your client is established outside the EU, he does not have to self-assess (via the reverse-charge mechanism) VAT IN Holland - or any other country of the EU.
Therefore, you do not have to file an Intrastat return for services and, in practice, I would advise NOT mentioning the NL VAT number of your client on invoices.

Please note if you were to invoice similar services to an EU-based company, you would have to file an Intrastat return for services since your client should self-assess VAT in its country of establishment.
Indeed, what matters here is the ability for EU Tax Authorities to crosscheck the data declared by the supplier on its Intrastat return and by the taker on its VAT return to ensure they match.
Fighting VAT fraud is the essence of creating Intrastat return for services.

I hope this helps.

Kind regards,

E.