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.
2. Notice 735
Please contact me should you have any queries about this and I will try to find the answer!