The Global Association for NLP
Empowering NLP professionals to make a difference
The EU brought in legislation on 1st January 2015, which is being enacted in the UK...
Last update 26 Oct.2019
The following statements are subject to update depending on the rules that will apply if the UK leaves the EU and what deal (or no deal) is in place. Until the legal position is clear, the following rules will still apply.
The EU brought in legislation on 1st January 2015, which is being enacted in the UK which changes the way in which Digital Products and services are treated for VAT. They will no longer be charged at the rate in the seller’s country but rather at the rates in the buyer’s.
All businesses can choose to register for VAT in all countries into which you sell or use an HMRC service called VATMOSS (mini one stop shop) which will administer payments to the relevant VAT authorities in other member states. The current HMRC guidelines can be found here.
Whilst there was, for a short time, a threshold introduced, which allowed for a small level of EU trade without having to register, current advice is that when the UK leaves the EU, that threshold will immediately be removed.
The rules are complex, changing even as we write this and subject to interpretation by each member state.
As ANLP is a membership organsation and its main revenue comes from membership fees, which are VAT exempt, ANLP does not currently have to be VAT registered. These changes in legislation meant that ANLP would have to register for VAT, which would have dramatically increased the administration and financial management required, which would have impacted heavily on membership fees.
Therefore ANLP International CIC have taken the decision to restrict sales of digital products to EU countries, rather than fall foul of the legislation or shoulder the burden of increased administration costs.
Therefore, if you live in an EU country, ANLP International CIC cannot supply you with digital products.