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Posted Tue, 17 Oct 2023 13:37:53 GMT by
We are a UK business and are looking to trade with a customer in the Republic of Irland on DDP terms. We are going to handle the import on behalf of the customer which means we will have to pay the 23% VAT, is there any way we can reclaim this?
Posted Wed, 18 Oct 2023 11:39:17 GMT by Customs oldtimer
No not unless you register for VAT in Ireland. Depending on whether you are or customer is declared as the importer you may also trigger a requirement to register for VAT in Ireland in any case. The normal registration thresholds do not apply to non resident businesses. Presumably as you are charging your client based on DDP Incoterms you will already be charging them the total of all the import charges including an amount equivalent to the Irish VAT in any case .
Posted Wed, 18 Oct 2023 14:19:47 GMT by HMRC Admin 10 Response
Hi.
If you are the importer of record in to Ireland then you would need to register for VAT in Ireland and you would then be able to recover the import VAT paid on the Irish VAT return.
If you are not the importer of record in to Ireland then you would not be required to register for VAT in Ireland and therefore there be no facility to be able to recover the import VAT incurred.
There is a process for recovering VAT incurred in member states but you would need to mjeet the cinditions set out for a particular memeber state.
Please see the guidance below:
How UK and Isle of Man businesses can claim overseas VAT

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