The Wholesale Forums

[moneymaker88]

Hi
I am a UK VAT registered company
I am about to purchase some electrical items from a company in Germany.
There price includes there VAT at 19%
When I import them will I be charged VAT at our rate of 17.5% on top of the price already charged (inc 19% Germany VAT)?
Will I be able to reclaim this 17.5% (I am VAT registered) and also will I be able to claim back any of the 19% VAT charged from Germany?

Any help would be great

Thanks

[greedyboy]

You will pay the net price at the time of purchase and no other VAT or duties. You then declare the VAT amount on your VAT return as purchases within the EU.

[moneymaker88]

Hi Greedyboy
Thanks for the quick reply
Still a little confused.
The items that I am buying cost £205 inc German VAT.
When I import them will they be subject to UK VAT? ( which I know I could claim back)
The thing I am confused about is whether I can claim back any of the 19% of German VAT that the £205 price includes?
Thanks mate

[greedyboy]

You will pay the the net price 205 - 19% providing you provide your VAT number.

There is no VAT or duties on imports within the EU as it is classed as one market.

When you file the return you declare the German VAT amount (there is a separate box if my memories serves me correct for EU imports).

So essentially you do not pay ANY VAT from your own pocket or claim it back in the traditional manner.

[moneymaker88]

Hi, I understand now.
Thanks a lot for your help.