VAT: overseas businesses using an online marketplace to sell goods in the UK
HMRC have published a guidance notice which explains that overseas online retailers must pay UK VAT on items that they sell which are stored within the UK at the point of sale. The marketplaces they use can be held liable for the online sellers’ VAT.
You should read this guide if:
- You’re an overseas seller, supplying goods already in the UK at the point of sale, to UK consumers through an online marketplace
- A UK VAT representative for one of these overseas sellers
- An online marketplace allowing sales by those overseas sellers
More details on the new HMRC Guidance for overseas online retailers can be seen HERE