VAT changes for Business wholesaling telecoms services

Posted on 29/01/2016

HMRC is introducing reverse charge accounting mechanism for buyers and sellers of wholesale telecommunications.

Please see the links below which relate to (1) a briefing issued this month by HMRC about the change to VAT that will be implemented on 1 February and (2) a VAT notice from April last year that is referenced in the briefing.

The change means that it is the responsibility of the customer, rather than the supplier, to account to HMRC for VAT on supplies of telecommunications services. It will only apply to business to business transactions in the UK where those businesses are registered or liable to be registered for VAT.

1. Briefing

https://www.gov.uk/government/publications/revenue-and-customs-brief-1-2016-vat-domestic-reverse-charge-for-businesses-wholesaling-telecommunications-services/revenue-and-customs-brief-1-2016-vat-domestic-reverse-charge-for-businesses-wholesaling-telecommunications-services 

2. Notice 735

https://www.gov.uk/government/publications/vat-notice-735-vat-reverse-charge-on-specified-goods-and-services/vat-notice-735-vat-reverse-charge-on-specified-goods-and-services

Please contact me should you have any queries about this and I will try to find the answer!

Cathy Gerosa

[email protected]

Industry News

ICO publishes Code of Practice to protect children's privacy online

Published on 22/01/20 by [email protected] (Telecompaper)

The UK Information Commissioner's Office (ICO) has published its final code of practice to protect the privacy of children online.

The FCS members please log in to view full article OR click here to view online

US, OECD pressure UK govt to abandon digital services tax plans

Published on 22/01/20 by [email protected] (Telecompaper)

The UK government is set to risk angering the US by pressing ahead with plans for a new digital ta...

FCS members please log in to view full article OR click here to view online

Hurricane Electric expands connectivity with Global Switch in Amsterdam, London, Sydney

Published on 22/01/20 by [email protected] (Telecompaper)

Hurricane Electric expanded its points of presence (PoP) at Global Switch, an operator of multi-customer data centres across Europe and Asia-Pacific. This includes new capacity in Amsterdam, London...

FCS members please log in to view full article OR click here to view online

Latest News

Comms is a fast-moving multi-national industry. To make sure FCS members have the best possible chance to stay up to date with developments, FCS has partnered with Telecompaper to provide members with daily news-feeds, tailored specifically to the UK comms market.