Hi,
I've recently won a contract with a UK client dealing through a consultancy based in London, with their PS services entity out of Ireland. The contract is outside IR35.
When the company send their self billing invoice it's from the Ireland entity of their business and therefore is not applicable to UK VAT. This is because it's a B2B arrangement between my company (UK) and theirs (theirs being based in Ireland hence UK tax doesn't apply).
I've checked and it does seem legit but means the invoices I have to generate for the FreeAgent accounting system will not include any VAT. In 10 years of contracting it's the first time i've had this arrangement, and whilst I get it, I wonder if this would be frowned apon in a VAT investigation.
My question is... is this not as unusual as it seems? Do other consultancy's do this to save their client some money? Should I be worried that I won't be charging VAT on my invoices, or is this completely on the consultancy?
Many thanks
I've recently won a contract with a UK client dealing through a consultancy based in London, with their PS services entity out of Ireland. The contract is outside IR35.
When the company send their self billing invoice it's from the Ireland entity of their business and therefore is not applicable to UK VAT. This is because it's a B2B arrangement between my company (UK) and theirs (theirs being based in Ireland hence UK tax doesn't apply).
I've checked and it does seem legit but means the invoices I have to generate for the FreeAgent accounting system will not include any VAT. In 10 years of contracting it's the first time i've had this arrangement, and whilst I get it, I wonder if this would be frowned apon in a VAT investigation.
My question is... is this not as unusual as it seems? Do other consultancy's do this to save their client some money? Should I be worried that I won't be charging VAT on my invoices, or is this completely on the consultancy?
Many thanks
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