An EORI number enables you to trade goods with countries that are based outside of the European Union. EORI stands for Economic Operator Registration and Identification. From the start of 2021, you will need to get an EORI number that begins with ‘GB’ so you can transport goods in and out of the United Kingdom. This will be the case immediately after the UK finally leaves the European Union. If you do wish to transport
Value Added Tax (VAT) is a tax that businesses have to pay in most countries of the world. E-commerce opportunities allow merchandises and services to cross physical borders more freely year into year, and entrepreneurs have to be aware of international-level regulations applicable to their activities. ‘Do I have to pay VAT and include the tax in the costs of my products?’ – that is a common question often asked by sellers of goods and
Introduction The last thing an e-commerce store owner would want to see is an e-mail instructing him or her to open a VAT file with the HMRC for future Value Added Tax (VAT) collection purposes. However, this is exactly the kind of e-mail many Amazon sellers received last year, and the requirement to open a VAT file and collect VAT payments have baffled the majority of e-commerce store owners listed on Amazon UK. In general,
An introduction to VAT in the UK Whether you are a small business owner, or an established company operating in the United Kingdom, chances are that you have already opened a file with the HMRC to receive and pay Value Added Tax (VAT), or at least considered doing so in the near future. Often, many investors wonder why VAT exists, and how it is going to help the society and the country at all. In
In case you are running a business involved in imports or exports of products or simply makes sales to countries outside the UK, you should learn a few things about VAT on imports and exports. Learning more about these rules will guarantee that your business will go on with its operations smoothly and that you won’t be fined or penalized by the authorities. The fact is that imports and exports are regulated by complex rules.
The HMRC got new powers starting from this week. Now they can penalize online marketplaces in case these platforms are used for tax frauds committed by sellers that are using these platforms. According to the new laws which were revealed by Philip Hammond in the Autumn Budget in 2017, the basic objective is to make online retailers and high street more competitive. In other words, online marketplaces must take responsibility and ensure that sellers that
According to some sources, HMRC has gathered a team of about two dozen experienced investigators to determine why primes have been avoiding the 20% charge to their top sellers as expected. The same sources claim that the tax office will be focused on the last 6 years of the unpaid VAT. Their main goal is to claim VAT back. The investigation can go up to 12 years in case there is significant evidence. Nearly one
eBay is the largest online marketplace in the world. This is an American-based auction site which has special divisions in many countries including the United Kingdom. There are thousands of sellers (and buyers) from the United Kingdom that use this online platform on a daily basis. In addition, there are thousands of transactions that are going through their system. Naturally, just like in the case of physical stores, eBay sellers have to take care of