Skip to main content

This is a new service – your feedback will help us to improve it.

Posted Fri, 19 Jul 2024 14:14:50 GMT by QnnoA
Hi, We are interior designers registered for VAT in the UK with prospective clients in Europe. Based on an advance invoice we raise, our overseas clients will pay us a lump sum of money to be spent on FF&E goods they will choose for their projects. At the end of the project we will issue an itemised settlement invoice showing all goods purchased and the balance left of to be paid. We want to zero rate the supply as the items will be exported. However there are VAT rules that goods must be exported within 3 months or 6 months, if they require processing before exporting. In case of interior design project the three / six time frame is often not long enough to buy the goods as they are bespoke so on a long lead time. When does the three / six month period start counting? Are there any other specific regulations that the time for export can be extended so that we have more time to purchase the goods for our clients and get them ready for shipping abroad? Thank you
Posted Tue, 23 Jul 2024 10:54:41 GMT by HMRC Admin 21 Response
Hi QnnoA,
There are strict time limits for being able to zero rate rate goods for export.
Please see below:
3. Conditions and time limits for zero rating
The time by which you need to send the goods and obtain evidence for the removal of the goods starts at the time of supply date.
Please see section 2.11 of the guidance below:
2.11 The time of supply of exported goods
The only extensions to these time limits are described below as per section 3.6:
3.6 Conditions for zero rating goods for export after processing or incorporation
Thank you.

You must be signed in to post in this forum.