Indirect Taxation (VAT)

Governments increasingly see indirect taxation as a big revenue earner and are constantly trying to improve enforcement with high penalties and compliance investigations becoming the norm. If you carry out a business activity it is highly likely you may have a registration requirement for indirect taxation and may have to add an indirect taxation charge to your supply such as VAT. Likewise if you purchase supplies, you may have to suffer indirect taxation being charged to your business.

Once registered, you will have a reporting requirement to the local authority responsible for indirect taxation and a payment to make for the indirect taxation your business has collected from your customers or a refund claim if you have paid more indirect taxation then you have charged. Whilst in principle this may seem straightforward it can become increasingly complex with cross border supplies and in particular the differing rules on the supply of services, supply of goods, supply of digital services and whether that supply was made to a taxable person acting as such or a private consumer deemed the end supply.

We work with our clients to help understand their VAT compliance obligations and manage the compliance risk. We can help with Indirect tax registration and de-registration, indirect tax refund claims and VAT reporting as well as helping the client break down transactions into smaller supply chain transactions so that they can assess their supply and likely indirect tax repercussions.