9 Answers

Should I charge VAT on the purchase ?

Asked by: 6th October 2015

I am a UK based company selling a product to Lanzarote. I am selling a product to go on a boat.  The customer will be buying from me in the UK and says he should not pay VAT.

Do I need a VAT number or something to cover myself and my company?

What if he does not have a VAT number?


9 Answers

  1. Mick Garvey on Oct 06, 2015

    Why not contact your local VAT office. They will put you right

  2. Mandy Stone on Oct 06, 2015

    Thank you Mick, I will try this.

  3. EJPM on Oct 06, 2015

    If the delivery is within the UK, which it sounds like it is, you must charge VAT.

  4. Kitty on Oct 06, 2015

    If the person you are selling to does not have a European VAT number you must charge it. However, you can only charge VAT if you are a VAT registered company. If you are not registered for VAT you cannot charge it .

  5. Mandy Stone on Oct 06, 2015

    EJPM – We are based in the UK, the customer is in Lanzarote.
    Kitty: We are VAT registered.

    Thank you both for your help

  6. Sue on Oct 07, 2015

    I live in Lanzarote and when I order goods from companies like Amazon to be delivered here they take off the VAT, as I am liable to pay local taxes here on delivery (sometimes these are charged and sometimes they’re not). I would therefore say that your customer is right but I agree that your tax office will need to guide you on the correct way to do this. There are some UK companies like M&S that refuse to deliver here because of the complications with VAT charges

  7. Mick Garvey on Oct 07, 2015

    As I said before , ask your local VAT office ,they will put you right.
    Listening to all the advise already given can only play on your mind as to which is correct and which is incorrect.

  8. Kitty on Oct 07, 2015

    The Canary Islands are an exception to the usual EU VAT rules. You do not need to charge it but you must keep proof of export for 6 years.

  9. Mandy Stone on Oct 07, 2015

    Thank you all for your input