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VAT News - Get a round up of the latest UK, EU and Global VAT news and explore other pages where you will find UK and Global Country Guides, articles and much more. VAT NEWS - Stay up to date with the latest UK and Global VAT news, Indirect Tax news Industry News and articles. The world of VAT and GST is rapidly changing, driven by the increased focus on digitalisation, e-invoicing, and tax authority focus on the tax gap and harmonisation. The EU's VAT in The Digital Age package (VIDA) reforms will become mandatory from 1 July 2028 with e invoicing for B2B inter EU transactions becoming mandatory from 1 July 2030. The UK Chancellor announced as part of the 2025 Autumn budget that e invoicing will be mandatory in the UK for B2B and B2G VAT invoicing from 1 April 2029. E invoicing in particular has been mandatory for years in many South American nations such as Chile, Argentina, Brazil, Columbia and in some European countries such as Italy. European countries such as Germany, Romania, Poland have adopted mandatory e invoicing more recently. In Africa, Kenya, Nigeria, Egypt, Uganda and Tunisia have all adopted and implemented mandatory e invoicing. Outlined in the galleries below are summaries of the latest UK news items and Tribunal / Court cases in relation to VAT and there is a separate section for global news items, updates and court cases relating to VAT with relevant links provided. UK VAT News Mar 26 - The UK VAT Gap (difference between the VAT HMRC expects vs receives) widens by £3bn for 2024/25 from initial estimate of £8.9bn to £11.9. FTT - Feb 2026 Ruling that 5% VAT should apply to EV charging in Public Places where consumption is below 1000 kwh / month for a customer. Carbon Border Adjustment Mechanism - HMRC Technical Consultation on Draft Legislation open until 24 March 2026. UTT - Feb 26 - Upholds FTT decision in Lycamobile vs HMRC case confiming that payment for plan bundles are subject to VAT immediately and not when customers access or use associated benefits. Feb 26 - British Independent Retailers Association (BIRA) and coalition of key retailers and tax experts write to UK Treasury calling for consultation on online VAT reform. HMRC - Guidlines for Software Developers using Generative AI Products used for Tax & VAT Reporting Budget 2025, Climate Change Levy Exemption for electricity used in electrolysis to produce hydrogen and natural gas used as a source of carbon dioxide to produce sodium bicarbonate from soda ash will be exempt from the Climate Change Levy (CCL) From 2 Jan 2026, Online Taxi operators can no longer use the Tour Operators Margin Scheme loophole. VAT must be paid on full ride fare. (Not commission only) FTT - Rules that the supply of Locum (temporary medical staff) is exempt under 5, Group 7, Schedule 9, VAT Act 1994. ICAEW - Finance Bill Threat to Tax Advisors 2026 - Read ICAEW Article! Electronic Invoicing will be Mandatory in the UK from 1 April 2029 for all B2B transactions. Hotel La Tour vs HMRC - Supreme Court Judgement 17 December 2025 - Input VAT Recovery Sale of Shares. Autumn Budget UK 2025 - Key VAT & Tax Changes. HMRC Issues New VAT Grouping Rules For Overseas Establishments TSI Instruments vs HMRC (FTT) Recovery of Input VAT disallowed (non owner of the goods) HMRC - Issues GFC 13 - Help ensuring documents filed with HMRC are correct and complete. Input Tax - HMRC Late Claims Guidance Supreme Court - NHS Parking Trusts are a taxable person for VAT on car parking Hippodrome Casino vs HMRC (Court of Appeal) Standard PX Method Applies and not Floor Space. Prudential Assurance Co vs HMRC VAT Case - Tax Point for payments after entity has left VAT Group. JP Morgan Chase vs HMRC - Inter-group supplies (single or multiple taxable supplies) HMRC- Crackdown on the use of VAT Grouping in the Care Industry Capital Goods Scheme Adjustment Simplification HMRC - Issues (GFC 8) VAT Risk & Controls Framework for Organisations Barclays Services Corp vs HMRC Fixed Establishment Global VAT News Mar 2026 - From 10 April 2026, Gibraltar is introducing a new Transaction Tax of 15% on imported and locally Manufactured goods. The rate will rise to 16% in 2027 and 17% in 2028. Mar 26 - South Africa announces increase in VAT registration threshold from R1m to R2.3m and the voluntary registration threshold from R50,000 to R120,000, effective 1 April 2026. UAE Ministry of Finance - Feb 26 - Publishes E Invoicing Guidlines. Nigeria Revenue Service (Feb 26) Implementation time line guide for e invoicing (MBS) guide. British Columbia - From 1 October 2026 - Provincial Sales Tax (PST) applicable to Accounting, Architectural, Engineering, Security Services, Property Management Services. Also PST Exemptions for Basic Cable Television, Residential Landline Telephone Services, and some Clothing and Footwear items will be Eliminated. CJEU AG Brkan opinion on the VAT treatment for the Management of Credit where the loan has been sold (Securitisation). Where Credit Management Services continue to be provided by the original loan issuer, the services are not Exempt under art. 135(1) (b) EU VAT Directive. (Basically Taxable) Lebanon - VAT increased From 11% to 12% to fund increases in Public Sector Pay. OECD - Digital Continuous Transaction Reporting - Jan 2026 Mauritius Revenue Authority - Foreign suppliers of Digital or Electronic Services in Mauritius must register with the MRA and account for VAT in Mauritius EU Council agrees to levy 3 Euros on small parcels valued at less than 150 Euros entering the EU from 1 July 2026. UAE - Ministry of Finance - From 1 Jan 2026 -VAT Changes to Reverse Charge Invoicing & 5 Year Limit to Input Tax Recovery. RCV - Applies to Scrap Metal Trading From 14 Jan 2026. European Commission Releases Report "Mind the Gap" Estimating the EU VAT compliance gap is EUR 128bn. Portugal Introduces VAT Grouping for Tax Periods Starting 1 July 2026. This will allow VAT amounts owing and recoverable to be netted within the group. However inter-group transactions remain Vatable. Ireland - VAT Groups - Only Branches and Head Offices Established in Ireland Allowed. CJEU - Arcomet Towercranes - Transfer Pricing adjustments - Potentially Vatable India GST Reforms - 2025 Russian Ministry of Finance - Raising VAT rate From 20% to 22% from 1 Jan 2026. Sweden will Temporarily reduce VAT on Food From 12% to 6% from April 2026 OECD - Tax Administration and Digitalisation Report 2025 EU Council - EU Customs Framework Reform Argentina "Super VAT" Proposal Philippines - From 1 June 25, 12% VAT applies on Digital Services Consumed Locally. EU - New Rules on E Commerce Import VAT to Encourage IOSS use. Canada - Government GST/HST - US Tariff Relief for Businesses. EU - VAT in the Digital Age Package (VIDA) agreed.

VAT DIGITAL.COM - Global VAT News - UK , EU, Americas, Asia, VAT Compliance, VAT AI Advisor to answer your queries, Global VAT Rates , HMRC & VAT Case Updates, E Invoicing News and information. Making VAT Simple Making VAT Simple Vat Digital.Com Vat Digital.Com VAT DIGITAL.COM - UK & Global VAT News & Compliance UK & Global VAT News UK VAT Guides UK Tax News & Updates Country VAT Rates Country VAT Guides HMRC Updates E Invoicing News and Updates VAT Automation Guide VAT for Small Business VAT for Banking & Financial Services VAT for the Construction Industry VAT for the Energy Industry VAT AI Advisor - Online 24/7 VAT Accounting & VAT Recovery VAT Returns & E Filer Links VAT Risks & Controls VATDIGITAL.COM - Making VAT Simple VAT Digital AI - Advisor - Online 24/7 Demystifying VAT - Online 24/7 VATDIGITAL.COM - VAT Digital.Com making vat simple OECD Digital Continuous Transaction Reporting January 2026 Read More VAT Digital.Com making vat simple Financial Services VAT Banking - VAT VAT Explained Global VAT Guides UK VAT Guide VAT News Register For VAT Check a VAT Number is Valid Global VAT Rates VAT on Business Expenses Europe VAT Guide UK - VAT Invoicing Rules Finance - VAT Liability Table E - Invoicing Updates Mergers & Acquisitions VAT Construction - VAT P/L & VAT VAT Risk VAT Accounting Reverse Charges VAT Rates - Goods & Services Importing & Exporting VAT Groups Intercompany Recharges & VAT Selling a Business & VAT VAT Risk & Control Framework VAT Compliance Automation VAT & Food Banking And VAT Investment Banking Corporate Banking Retail Banking Private Banking Read More Partial Exemption Special Methods (PESM) VAT Allocation & Recovery MTD & VAT E2E Automation Interco Recharges & Reverse Charges Banking income - VAT Liability International Trade Fixed Establishment & VAT Grouping Risk Management & Controls E Invoicing

UK VAT Guide covering - Banking, Insurance, Construction, Commodities, Charities, Private Hire Taxi, Crypto , Pension Schemes, Energy, VAT Accounting, Business Expenses, Import, Export, Reverse Charges Autumn Budget - VAT & Tax Changes UK VAT Guide - Comprehensive UK VAT Guide to Help Businesses - Large, Medium and Small UK VAT is primarily governed by Law ( VAT Act 1994) and is enhanced by case law and administered by the UK Tax Authority known as HMRC (Her Majesty's Revenue & Customs). VAT (Value Added Tax), is a consumption tax levied on goods and services at each stage of the supply chain, with the final cost being borne by the end consumer. VAT Registered Businesses will collect VAT (output) from customers and pay this to HMRC usually on a monthly or quarterly basis. VAT Registered Businesses can also fully recover the VAT they pay on their own purchases subject to any partial exemption restrictions . On this page you will find detailed VAT guides, articles and links to help you better understand the key issues around VAT and other indirect taxes and help your business stay VAT compliant. Please try our AI VAT Advisor which will provide guidance and key VAT information along with detailed summaries from the content of this site relating to VAT queries you may have. UK e Invoicing 1 April 2029 VAT Explained UK Carbon Border Adjustment Mechanism (CBAM) - 2027 Making Tax Digital - Self Employed & Landlords - From April 2026 VAT Explained VAT Registration Making Tax Digital Place of Supply Business Expenses VAT Invoicing VAT Accounting P&L - BS & VAT VAT - Risk Correcting VAT Errors Disbursements VAT Exemptions Importing & Exporting HMRC - (P2P) Procure to Pay (Accounts Payable) Risk Mitigation Explore Reverse Charges Salary Sacrifice & VAT VAT - Employee Expenses Bad Debt Relief Motor Vehicles & VAT Self Billing Agreements VAT Automation Selling a Business Debt - (Sale of Debt) Pension Schemes Opting to Tax Property Barter & Part Exchange Capital Goods Scheme Agents - Disclosed & Undisc Catering - Food & Drink Delivery of Goods Margin Schemes Intercompany Recharges Risk & Control Framework Business Risk Reviews Banks & VAT Barristers & VAT Charities & VAT Commodities & VAT Construction (CIS) & VAT Crypto Currencies Digital Services Global VAT Rates Energy & VAT Financial Services & VAT Insurance & VAT Intermediaries & VAT Limited Partnerships Online Market Places Supply of Staff & VAT Taxi Services & VAT UK Financial Services - VAT Explained. Explore Financial Services Product List and VAT Treatment Explore Are you Self Employed or a Landlord? Making Tax Digital Applies from 6 April 2026 Explore HMRC's Transformational Roadmap Enhanced Learning and AI Tools Read More No MTD for Corporation Tax E Invoicing Rollout Phase out of Govt Gateway Stricter Rules for Umbrella Companies VAT Number Checker VAT Groups VAT Rates - Good & Services VAT Schemes E Invoicing UK VAT IOSS Scheme Senior Accounting Officer HMRC - Climate Change Levy (CCL) Consultation - electrolytic hydrogen production, Read More VAT Risks Business Expenses & VAT Listed Places of Worship Grant Scheme - £25,000 Cap on VAT Recovery

VATDIGITAL.COM - A leading global VAT news and compliance platform providing businesses and individuals with the latest VAT news and compliance guides and AI tools. VAT Digital. Com VAT Digital. Com VAT Digital. Com - Advertise or Sponsor us Demystifying VAT Making VAT Simple The idea for VATDIGITAL.COM was conceived out of the need to help Businesses owners, Entrepreneurs and Individuals access useful information and news about VAT easily and quickly from a single platform. The site has evolved and now provides information, VAT and Indirect Tax guides, tax tools and key links in relation to UK and Global VAT compliance. The site's inbuilt AI VAT advisor allows visitors to obtain detailed answers and guidance for specific queries in relation to VAT and GST 24/7. The site's development and provision of services is ongoing and continually evolving and will be enhanced to reflect key VAT and other general Tax trends. As founder, I hope you find our site informative and useful. Please follow us on Linkedin. Lastly If you would you like to advertise your business on this site or sponsor us, then please email: enquiries @vatdigital.com Anthony Ene - Founder VAT Digital AI VAT advisor online 24/7

Construction & VAT Guide - how VAT is applied in the Construction Industry for new buildings, renovations, etc. CIS and domestic reverse charges, VAT rates and much more Introduction The Construction of new buildings and renovations to existing buildings are normally charged at the Standard Rate of VAT 20%. Services of trades persons such as carpenters, plumbers, electricians etc are usually charged at the Standard Rate of VAT 20%. However there are instances where construction can be Zero Rated and no VAT charged. Buiding new houses and flats - Don't have to charge VAT for Materials and Labour (provided they meet the definition of a new house) = Zero Rated Construction of new qualifying dwellings and communal residential buildings, and certain new buildings used by charities = Zero Rated 0% Conversion for a housing association of a non-residential building into a qualifying dwelling or communal residential building = Zero Rated 0% Conversion (other than for housing associations) of a non-residential building into a qualifying dwelling or communal residential building and conversions of residential buildings to a different residential use = Reduced Rate 5% Renovation or alteration of empty residential premises = Reduced Rate 5% Approved alterations to listed dwellings and communal residential buildings, and certain listed buildings used by charities (rate shown with effect from 1 October 2012) = Standdard Rated 20% Alterations to suit the condition of people with disabilities = Zero Rated 0% Reliefs from VAT for disabled and older people. See (VAT Notice 701/7) Installation of energy saving materials; and grant funded heating system measures and qualifying security goods = Reduced Rate 5% (Energy-saving materials and heating equipment (VAT Notice 708/6) Development of residential caravan parks = Zero Rated 0% First time gas and electricity connections = Zero Rated 0% (Fuel and power (VAT Notice 701/19) Construction work on children’s homes = Zero Rated 0% Construction work on residential care homes = Zero Rated 0% Construction work on hospices = Zero Rated 0% Construction work on student accommodation = Zero Rated 0% Construction work on school boarding houses = Zero Rated 0% Installation of mobility aids for the elderly for use in domestic accommodation = Reduced Rate 5% Home improvements on domestic property situated in the Isle of Man = Reduced Rate 5% Isle of Man VAT Notice Home improvements available from: Note: There are several conditions that have to be met to be able to zero rate and apply reduced rates as above. Please refer to the attached HMRC notice Buildings and construction (VAT Notice 708) Construction Indu str y Scheme The Construction Industry Scheme is a HMRC process whereby Contractors working in the building and construction industry deduct tax from payments made to their subcontractors and pay the money deducted over to HMRC. To do this, contractors are required to register with HMRC. Subcontractors are not required to be registered but if they don't they will have tax deducted at the higher rate (not 20%) by their contractor making payments to them. The tax deductions are a made from the non materials portion of the amounts being paid. Contractors Sole Traders Limited Companies Partnerships Government Departments Local Councils Businesses spending £3M in a year on construction Note contractors can als o be subcontractors when the do work for other contractors Construction Industry Scheme (CIS) and Reverse Charge VAT Prior to 1 March 2021, subcontractors invoicing there VAT registered contractors for work done would as normal be required to include VAT at 20% on their invoices. From 1 March 2021 the domestic VAT reverse charge must be used for most supplies of building and construction services. The charge applies to standard and reduced-rate VAT services: For individuals or businesses who are registered for VAT in the UK Reported in the Construction Industry Scheme What does Reverse Charge Mean? It means that instead of charging VAT on your invoice to your contractor, you just show the net amount and add the words "Reverse Charge Applies", "Customer to Account for VAT" on the invoice. Your contractor will then be required to account for the VAT that you would normally have charged (Pre introduction of Reverse Charge Rules) on their VAT return in Box 1 (VAT on Sales) and also in Box 4 (VAT on Purchases). Therefore in effect the Contractor will not pay any VAT to HMRC as the Box 1 VAT amount payable will be cancelled out by the Box 4 VAT recoverable amount due from HMRC. Example: Subcontracor A has done work for £100,000 for Contactor B. Subcontractor A will include £100.000 on their invoice and will not include any VAT, just the words "reverse charge" "customer to account for VAT". The contractor will include £20,000 reverse charge output VAT (20% of £100,000) in their sales VAT (box 1) and £20,000 reverse charge input VAT recoverable in their purchase VAT (box 4) on their VAT return when they receive the invoice from subcontractor A. Therefore contractor A pays no VAT to HMRC. Also contractor B pays no VAT to HMRC as their VAT return will show £20,000 reverse charge output VAT payable and £20,000 reverse charge VAT recoverable from HMRC. So in effect a nill box 5 and no VAT to pay or recover from HMRC. When should Subcontractors use the Reverse Charge Procedure They must use the reverse charge for the following services: constructing, altering, repairing, extending, demolishing or dismantling buildings or structures (whether permanent or not), including offshore installation services constructing, altering, repairing, extending, demolishing of any works forming, or planned to form, part of the land, including (in particular) walls, roadworks, power lines, electronic communications equipment, aircraft runways, railways, inland waterways, docks and harbours, pipelines, reservoirs, water mains, wells, sewers, industrial plant and installations for purposes of land drainage, coast protection or defence installing heating, lighting, air-conditioning, ventilation, power supply, drainage, sanitation, water supply or fire protection systems in any building or structure internal cleaning of buildings and structures, so far as carried out in the course of their construction, alteration, repair, extension or restoration painting or decorating the inside or the external surfaces of any building or structure services which form an integral part of, or are part of the preparation or completion of the services described above - including site clearance, earth-moving, excavation, tunnelling and boring, laying of foundations, erection of scaffolding, site restoration, landscaping and the provision of roadways and other access works When should Subcontractors not use the Reverse Charge Procedure Do not use the reverse charge for the following services, when supplied on their own: scaffolding hire (with no labour) carpet fitting making materials used in construction including plant and machinery delivering materials work on construction sites that’s clearly not construction - for example, running a canteen or site facilities extracting minerals (using underground or surface working) and tunnelling, boring, or construction of underground works, for this purpose drilling for, or extracting, oil or natural gas manufacturing building or engineering components or equipment, materials, plant or machinery, or delivering any of these to site manufacturing components for heating, lighting, air-conditioning, ventilation, power supply, drainage, sanitation, water supply or fire protection systems, or delivering any of these to site the professional work of architects or surveyors, or of building, engineering, interior or exterior decoration and landscape consultants making, installing and repairing art works such as sculptures, murals and other items that are purely artistic signwriting and erecting, installing and repairing signboards and advertisements installing seating, blinds and shutters installing security systems, including burglar alarms, closed circuit television and public address systems For more information on how to apply Reverse Charges in the Construction Industry please refer to HMRC's Link below. Domestic reverse charge procedure (VAT Notice 735) -Contains public sector information licensed under the Open Government Licence v3.0. Construction and VAT - Comprehensive VAT Guide

Use these e-filer links to effectively bridge your excel spreadsheets and e-file your VAT returns to HMRC monthly or quarterly with ease. Making VAT Digital - e filer Links As part of HMRC's Making Tax Digital requirement, all VAT registered businesses are now required to keep digital records of their businesses transactions and file their VAT returns electronically to the UK Tax Authority HMRC. If you are looking for fast and simple bridging s olutions to file your spreadsheet or other software based VAT return calculations directly to HMRC, then you can use the links provided below access these. GoFile PWC Sheets The links on this page do not convey any endorsement, authorship or ownership by VATDIGITAL.COM of any of the sites visited or software listed. These e filers are listed on HMRC's website as approved. They have also been used by members of the team and are considered very user friendly.

VAT digital media - Global VAT, GST, E invoicing and Key Case Law updates from around the globe. Making Tax Digital - Landlords & Self Employed Applies from 1 April 2026 VAT Digital Media - Keep up to Date with the latest VAT, GST and E Invoicing News UK E Invoicing - Mandatory 1 April 2029

Find out how VAT works In South Africa including registering for VAT, VAT rules, standard rated, zero rated and exempt services, imports and exports and much more. South Africa VAT Introduction VAT (Value Added Tax) is a consumption tax levied on goods and services at the Standard Rate of 15% in South Africa. This rate is applied to taxable supplies. There are also supplies which are either zero rated or exempt. VAT Registration Threshold The VAT registration threshold is currently R1m and the voluntary registration threshold is R50,000. Note as of 1 April 2026, the VAT registration threshold as announced in the budget will increase to R2.3m and the voluntary registration threshold will increase to R120,000. Standard Rated Goods & Services (Taxable) Land and Buildings (fixed property) - Sale of Residential and Commercial property by property developers Professional services – construction/building, estate agents, consultants, architects, engineers, project managers, doctors, private hospital services, lawyers, plumbers, electricians and accountants. Most grocery items and foodstuffs such as meat, fish, white bread, snacks, most canned foods, cigarettes, perfume, medicines, cool drinks, cleaning materials, clothing, footwear, microwave ovens and other household consumables and appliances. Electricity, water and refuse removal. Accommodation, hospitality, tourism and entertainment – restaurant meals, hotel accommodation, liquor sales, arcade amusements, casino slot machines and gambling services, entrance fees to sporting events, theatre performances and film shows, guided tours, game drives and game hunting expeditions. Furniture, production machinery, installations, motor vehicles Telephone, internet, computer and other telecommunication services. Rental of goods and commercial property such as office space. Motor vehicles, repair services, lubrication oils and spare parts. Zero Rated Goods and Serves ( Zero rate of VAT) Basic Food supplies such as milk, eggs, rice, Fish in tin cans, Fruit and Vegetables. Note this excludes food prepared for immediate consumption such as sandwiches or drinks served in a restaurant. Crude oil, petrol, diesel International transport of goods or passengers from South Africa overseas and vise versa Services supplied in relation to land located outside South Africa Physical supply of services supplied outside of South Africa Farming Goods such as Seed, pesticides, fertilizers Exempt Goods and Services Financial services (such as the provision of credit, life insurance, the services of benefit funds such as medical schemes, provident, pension and retirement annuity funds); Residential accommodation in a dwelling (but not commercial holiday accommodation) Passenger Transport. Bus, Train, Taxi Educational services provided by recognised educational institutions such as primary and secondary schools, technical colleges, or universities which have been approved as public benefit organisations Childcare services provided at crèches and after-school care centres Detailed Information on VAT in South Africa can be found in the South African Revenue Service links below LAPD-VAT-G02 – VAT 404 Guide for Vendors LAPD-VAT-G03 – VAT 409 Guide for Fixed Property and Construction LAPD-VAT-G16 – VAT FAQs Supplies of electronic services

Bad Debt Relief is a HMRC process whereby VAT amounts invoiced to your customers and paid to HMRC can be recovered after the debt has been oustanding for 6 months. Introduction Bad debt relief allows a business to claim a refund of the output tax they have paid to HMRC when they do not receive payment from their customers. A refund can only be claimed when all the conditions have been met and must be repaid if the claimant subsequently receives payment from their customer. The relief is two-sided, in that the recipient of the supplies which have not been paid for is required to repay input tax claimed. When businesses make taxable supplies and include VAT on their invoices, they have to pay the output VAT to HMRC on their next VAT return regardless of whether they have actually received or collected the amount invoiced (including the VAT) from their customers. If it turns out that a customer cannot pay for the goods or services a business has invoiced them for, then this creates a problem as the output VAT has been paid to HMRC but the cash has not been received from the customer to fund this payment. This can create cash-flow problems especially where the amounts involved are significant. Bad Debt Relief In the event of the above situation, where debts become irrecoverable, HMRC will allow businesses to make bad debt relief claims to recover the output VAT they have paid but not recovered from the client. To be able to make a claim for Bad Debt Relief, businesses must satisfy a number of conditions. Note: Where customers have recovered the input VAT from HMRC that was invoiced by their supplier, this will have to be repaid. Conditions That Have to be Met to claim Bad Debt Relief The debt is over six months old. The debt has been written off in the refunds for bad debt account. The claimant has a separate refunds for bad debt relief account (which may be maintained outside normal accounting systems) containing the following information: The outstanding amount to which the claim relates. The period in which the tax was accounted for and paid to HMRC. The amount of bad debt relief claimed. The period in which the claim was made. The amount of VAT chargeable on each supply Any payment received for the supply The date and number of each invoice issued; if no invoice has been issued the supplier must detail the date, the name of the purchaser and the nature of the supply The debt is over six months old. The debt has been written off in the refunds for bad debt account. The claimant has already accounted for and paid the tax being reclaimed, via a VAT return or assessment. The value of the supply concerned cannot exceed the open market value. Time Limits for Making a Claim A claim for bad debt relief must be made within four years and six months of the later of the following: The date when the amount became due and payable; and The date of the supply. Other Key points Regarding Bad Debt Relief Claims Where Bad Debt Relief claims have been made and the customer subsequently settles the debt and VAT, then any VAT reclaimed using Bad Debt Relief will need to be repaid to HMRC. A debt cannot be written off in the refunds for bad debt account until six months from the date when the debt became due and payable. Who Can Make a Bad Debt Relief Claim The Individual or company who made the supply in the first place The new owners of a business that was transferred as a going concern where the new business owners have taken over the same business VAT registration number and there were existing bad debts of historic sales. Bad Debt Relief Exclusions No entitlement to Bad Debt Relief if value of supply is greater than the open market value Debt has been factored to a third party Bad debt relief is not available to businesses that use the cash accounting scheme or one of the retail schemes that allow the daily takings total to be adjusted for opening and closing debtors. Where import agents have paid import VAT on their customer’s behalf and are then not paid by their customers, there is no entitlement for the agent to claim bad debt relief in respect of the unpaid import VAT. (If the agent is not paid for the services he provides there may be an entitlement to bad debt relief subject to all conditions being met). Relief from VAT on bad debts (VAT Notice 700/18) -Contains public sector information licensed under the Open Government Licence v3.0. Bad Debt Relief - VAT Guide on the Recovery of VAT from HMRC

VAT Careers - What its like to work in VAT in different sectors, skills and experience required, job interview tips, top recruitment consultants , VAT job links CAREERS IN VAT VAT Digital. Com WORKING IN VAT JOB INTERVIEW TIPS RECRUITMENT CONSULTANTS MARKET & SALARY GUIDES

Read our Guid on GST in Jersey, Including GST rates, Exemptions, goods and services that are zero rated, the requirements around GST registration and much more. Jersey-GST Goods and Services Tax (GST) The Standard Rate 5% on most goods and services in Jersey. Zero-rated goods and services GST is rated at 0% for: buying, selling or renting accommodation exports the supply of international services where the benefit is received in a country outside Jersey GST exempt goods and services The goods and services specifically exempted from GST under the law are: financial services insurance postal services medical supplies medicines on prescription supplies by charities registered child care some burial and cremation services school fees GST Other Tips - If a business adds a service charge to your bill, then it is subject to GST. If you leave a tip, it isn't. Prescriptions - No GST is charged on prescriptions if you are entitled to claim pharmaceutical benefit under the Health Insurance (Jersey) Law 1967. House sales, rent and housebuilding - You don't pay GST on house sales, transfers or leases. Loans or mortgages Loans and mortgages are exempt from GST. Hire purchase, conditional sales or credit sales are also exempt. Businesses that charge GST It should only be charged by a business which is registered for GST with Revenue Jersey. Jersey businesses with a turnover in excess of £300,000 in any 12 month period are required to register for GST and charge it to their customers, although some smaller businesses voluntarily register. Any overseas retailer, or online market, who sells goods to non-business consumers in Jersey and those goods are despatched from an overseas location to Jersey, must register and account for GST if their turnover from such sales exceeds, or is likely to exceed, £300,000 per annum. Smaller overseas retailers may also voluntarily register. For more specific information regarding Jersey VAT, please visit the Jersey Tax Authority website Goods and Services Tax (GST). Source - gov.je

Read our comprehensive guide on Tax Risk and Control Frameworks for VAT, including the interation with SAO signoff, BRR, Internal and Externaland Internal Audits, Organisational Culture and HMRC guidance. Risk and Control Framework - VAT Risks & Controls for Organisations VAT Risk & Control Framework - Key Components VAT Risk Register SAO Checklists for Function Heads Documentation of all VAT Processes Risk & Control Employee Objectives Annual Entity Risk Review / Rating Internal & External Audits Board Level / Management Review, Sign-off & Communication Periodic Review & Testing of Controls Uncertain Tax Treatments Flow Diagrams & Decision Trees Business Risk Reviews Service Level Agreements GFC's HMRC Complinance Guidelines Company Risk & Control Culture Introduction A VAT risk and control framework is a documented and structured system to identify, manage, and mitigate VAT risks to ensure accurate and compliant VAT and GST reporting to a local tax authority (HMRC in the UK). It involves establishing a VAT risk register, defining key controls, who is responsible and accountable for them, confirming controls are documented, applying a risk weighting for each risk and conducting regular reviews and testing of each control to ensure they are effective and thus preventing tax authority penalties. It is important for a risk and control framework to be a "living document" in that it is constantly reviewed and updated to ensure that an organisation continues to mitigate risks associated with Indirect Tax. VAT can be a significant cost to a business, especially those that are partially exempt (unable to recover all of their input VAT from HMRC that they incur on their costs. For example, Large multinational banks and insurance companies. Senior Accounting Officer Sign off Where an organisation has a Risk and Control Framework for VAT & GST, it will assist and enable the Senior Accounting Officer to sign off their annual declaration to HMRC confirming that the organisation: Has adequately documented its controls and processes for the following areas - Customer on-Boarding, Accounts Payable and Receivable, Inter-Company Recharging, Capital Good Scheme, Partial Exemption Methods agreed with HMRC, Internal VAT Allocation Methodologies for VAT recovery, Outsourced Services, Finance and Tax Service Centre supplied services, VAT and other Indirect Tax System change processes, Automated Processes. Front End System to SAP System Interfaced Transactions, Payments Outside of the Accounts Payable Processes, International VAT Transaction Compliance, Imports and VAT compliance, Entertainment and Company Events Compliance, Employee Expenses and VAT etc. Has carried out testing of these controls Has complied with all the necessary VAT legislation in relation to returns filed with the tax authority Has adequately trained staff with the appropriate qualifications and experience to prepare returns, advise and monitor VAT & GST risks Has filed accurate VAT and GST returns on time and paid the correct amount of tax Has appropriate VAT accounting and reconciliations procedures Has documented and reviewed all new products and services to ensure the correct VAT treatment from a systems and billing perspective Has reviewed any changes in business structure to ensure there has been correct inter-company billing Is MTD compliant Is E invoicing compliant post 2029 Uncertain Tax Treatments An organisations VAT Risk & Control Framework should include a control that ensures that any uncertain tax treatments which have a tax advantage of more than £5 million for each relevant period are identified where and organisations: Turnover is over £200 million in a financial year Balance sheet total is over £2 billion in a financial year HMRC Risk & Controls Guidance for VAT (GFC8) HMRC (UK Tax Authority)have issued guidance on the risks and controls and requirements (GFC 8) that they would expect organisations to adopt to demonstrate that their VAT processes are documented and robust to ensure accurate reporting and compliance. Its important for organisations to review this document and embed any control gaps within their processes as this will enable HMRC to have greater confidence in their risk and controls culture and processes if they conduct an audit. Business Risk Review HMRC or other global tax authorities may conduct Business Risk Reviews as part of their risk and compliance monitoring of organisations. This will involve HMRC evaluating overall Tax and VAT governance, billing and VAT reporting systems, documentation of processes, risk and control frame works to determine if risks are being effectively managed. The aim will be to provide a business with a risk rating high, medium or low and as such will determine how often they scrutinise the business in future. As such, if an organisation has robust Risk and Control Framework for VAT & GST and it is embedded within the company's culture then this will help businesses in securing a low VAT BRR rating. Internal & External Audits Having a VAT Risk and Control Framework will be a good premise for the internal and external auditors to review at the start of their audit. It will provide a greater understanding of the business, inherent risk and how they are being managed or mitigated. Without a VAT risk and control framework, auditors will have to conduct a more extensive audit to gather information that would normally be included within a risk and control framework document or pack. Board Level Approval and Embedding a Visible Risk Culture Having a VAT Risk and Control Framework Document is a good start but one has to always ask, how will the controls be implemented, tested and embedded within the culture of the organisation. Unless a company has a strong risk and control culture embedded from Board level down, having a VAT / Tax Risk and Controls Framework document may not be enough mitigate against Finance, Tax and VAT risks. As such, It is important that the TAX / VAT Risk & Controls Framework becomes part of an organisations culture by building it into employee objectives, recruitment policies, company policy and backed up by inter functional Service Level Agreements (SLA's) which can be reviewed against performance annually.