Working direct for an Irish company

[northernladyuk]

Yeah you invoice VAT at 0% and refer to the community VAT rules on the invoice, plus you get 6 months without needing to pay Irish personal income tax... From what I remember.

That is incorrect if contracting. You are liable straight away... but only if working in Ireland, which is not the case here.

[eddieraver]

Yeah you invoice VAT at 0% and refer to the community VAT rules on the invoice, plus you get 6 months without needing to pay Irish personal income tax... From what I remember.

[ShandyDrinker]

Was that B2B or B2C?

So B2B may be within the scope of Ireland VAT, and outside the scope of UK VAT.

In which case the reverse charge question becomes important.

In my case it was B2B. Although a while ago now I do recall a lot of back and forth to determine whether VAT was applicable or not.

The rules are (in my opinion) not as clear cut as they could be.

[m0n1k3r]

Hum... ClientCo is a US company who has set up their European presence in Ireland ( company that is legally established and tax resident in Ireland) . I would be contracted to the Irish entity but would do all my work from home (UK) and never visit Ireland. Their end-client is not based in Ireland but elsewhere in Europe. I'm not really sure why ClientCo is doing this, but they are

Bill them as agreed and apply the EU VAT rules (provided they are registered for VAT in Ireland). Nothing more complicated than that.

[WordIsBond]

The last time (2014) I did some work directly for a friend based in Ireland no VAT was charged

Was that B2B or B2C? It makes a difference. From your link (section 6.3):

The B2B general rule for supplies of services is that the supply is made where the customer belongs.

Section 2.1:

where the place of supply of services is in a member state of the EU, that supply is subject to the VAT rules of that member state and not those of any other country. If the member state is not the UK, such supplies are said to be ‘outside the scope’ of UK VAT

So B2B may be within the scope of Ireland VAT, and outside the scope of UK VAT.

In which case the reverse charge question becomes important.

[ShandyDrinker]

Maybe not. Find out about reverse charge VAT.

You do have an accountant, I hope....

The last time (2014) I did some work directly for a friend based in Ireland no VAT was charged - I was doing all the work while based at home in the UK. Check out VAT Notice 741A.

Still best to seek advice from an accountant though just to confirm.

[SueEllen]

Anything I should know? I assume I just bill them at the agreed rate in the agreed currency plus 20% VAT.

But if there are any catches, I'd be grateful to know.

TIA :-)

What currency are they paying you in?

Last time I worked directly for an Irish company they paid me in pounds and expected me to charge them UK VAT as they set up a UK based presence. However I realised something was up as the bank helped themselves to £15 when every invoice was paid.

[WordIsBond]

I assume I just bill them at the agreed rate in the agreed currency plus 20% VAT.

Maybe not. Find out about reverse charge VAT.

You do have an accountant, I hope....

[Platypus]

Hum... ClientCo is a US company who has set up their European presence in Ireland ( company that is legally established and tax resident in Ireland) . I would be contracted to the Irish entity but would do all my work from home (UK) and never visit Ireland. Their end-client is not based in Ireland but elsewhere in Europe. I'm not really sure why ClientCo is doing this, but they are

[BR14]

Anything I should know? I assume I just bill them at the agreed rate in the agreed currency plus 20% VAT.

But if there are any catches, I'd be grateful to know.

TIA :-)

Where is the work being done?
It's a bit of a minefield.
If it's deemed to be done in ireland, you have to conform with iriish tax and social insurance.
I'd be careful

[Platypus]

Anything I should know? I assume I just bill them at the agreed rate in the agreed currency plus 20% VAT.

But if there are any catches, I'd be grateful to know.

TIA :-)