EU company selling UK Goods to UK Company

Can a company registered in EU, sell UK supplied goods to a UK Company? Goods in question do not have VAT or Import restrictions in EU or UK. Goods will not leave the UK.

Yes this can happen The customs process is the tricky part So if you invoice from EU To UK Buyer @0% vat , the UK company will need to complete an Import Declaration and account for VAT, If the goods are stored in the UK , but the EU company has a UK VAT number a normal local transaction invoice with VAT charged can be used.

The Goods are from a UK supplier that the EU company has an account with. The EU company would not be removing the goods from UK. The EU company wants to invoice the UK company for the goods at 0% VAT. The EU company does not have a UK VAT number. Would the UK company still need to complete an Import Declaration given that the goods are not imported?

Hi Neil Moore To answer your last question- No there is no requirement to complete an import declaration unless the goods are physically imported into the UK. You do however need to look at customs notice 700/1 - who should register for VAT specifically section 9 . Firstly theAssuming the UK supplier, if VAT registered, will charge 20% VAT on their sale to the EU company as the goods will remain in the UK . As the EU company must take ownership in the UK they should register for VAT ( assuming that they have no UK establishment)as they are making taxable supplies in the UK. As a non established business there is a zero VAT threshold for registration for VAT. By ownership it does not mean physical possession, however you must own the goods so as to be able to sell them. Only VAT registered businesses can charge VAT .

Hi,

You will need to contact our Imports and exports team regarding your query.

Imports and exports: general enquiries

Thank you.