VAT on B2C UK Biz providing online courses to UK and EU

I teach an online course. Business Management Certification, but it is quite niche. It's a US created online programme that I purchased a license to use and I teach, support and train people here in the UK and in the EU I meet my students each week via Zoom for one hour, plus throughout the week answer their questions by email and message. Students must complete projects for which they are provided feedback by me. And then students must complete 'Certification Week' a week of project tests to be provided with a designation of 'Certified'. If they do not pass Certification Week they do not received their 'Certified' designation. While it IS business management training, it is quite niche and not taught in schools or universities. Questions. 1. Should I be exempt from VAT - it's education. it's ongoing support and teaching? According to POSS13250 I come under 'Consultant' "educational services where the supplier and the customer are in different countries from each other at the time when the supply is made. See also educational services that are supplied where performed: Notice 741a 12.1 Says your services are supplied >>>>> where your customer belongs<<<<<< and so are outside the scope of UK VAT. It’s the nature of the service that you should consider, rather than your professional qualification or status And 'consultant' is referenced in 12.2 So then... 2. If I am not exempt from VAT - and I should be charging UK based B2C students UK VAT... What should I be charging EU based B2C students? This is really really tough to figure all this out. You read something and think, ahaaaa got it. And then read something else and thing, DOH, nope, start over.

Hi,

The provision of education can be an exempt supply if it is being provided by an eligible body. You can see guidance here:

Eligible body status

If you are a sole trader providing the education then the subject taught would need to be taught regularly in a number of schools or universities. Pleae see the guidance here:

Private tuition

If your supplies are taxable then supplies made to customers in the UK will be standard rated supplies.

When supplying these services to individuals overseas it is important to establish whether the supplies you are making are digital ones. If the supplies are digital in nature then there will be a requirement to either register in each member state where the customers belong or to register for Non-Union VAT MOSS. You can see guidance here:

Defining digital services

VAT rules for supplies of digital services to consumers

If the services provided are not digital in nature then the supplies to individuals in the EC will be outside the scope of VAT. Please see the guidance here:

B2C services of a professional, technical, financial, intellectual or other intangible nature supplied to customers outside the UK

Thank you.







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