• Just checked EU advice:

    The supply of services by an EU business to a UK business will be considered as situated outside the EU and therefore not taxable under EU VAT legislation

    but also

    Under this rule, the supply of services by a UK business to an EU business will be taxable in the Member State where the customer is established

    So for my company at least, we won't need to pay UK VAT unless there's a new agreement. Whether the UK later applies penalties to the customer I have no idea as there's no real proof that they gained services I'd imagine it'd be nigh on impossible to enforce.

  • The supply of services by an EU business to a UK business will be considered as situated outside the EU and therefore not taxable under EU VAT legislation

    But it will, AIUI, be taxable under UK VAT legislation as opposed to EU VAT legislation.

  • But I think that unless there is a specific deal, the UK becomes outside EU VAT laws and EU companies won't have to charge UK customers the VAT on services. It'd be for the UK Govt to get it from the people who took the service assuming they can prove it was used.

    That said, given how many tech companies are not based in the UK, I'd expect VAT on netflix, itunes etc would be a high priority part of negotiations.

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