EU VAT refund claim deadline approaching

June deadline for recovering EU VAT

UK businesses that have incurred VAT in an EU member state and wish to apply for a refund (under the 13^th directive) must pay special attention to the approaching deadline.

In most EU member states, a claim must be filed with the relevant tax authority by 30^th June 2023 for any VAT that was incurred in 2022.

Each member state has its own method for making a VAT refund claim. These processes may involve the provision of original invoices, and due to international postage times, it is important that businesses act now.

Here are some factors to consider:

• Before a claim is made, businesses should determine whether they are liable to register for VAT in the refunding member state due to supplies made within the territory. If a business is liable to register, then a VAT refund claim under the 13^th directive will be refused.

• Most member states require a certificate of taxable status to be provided that demonstrates the business is resident in the UK for VAT purposes. These can take up to 15 working days to obtain and so requests must be made now. HMRC outline the process at https://www.gov.uk/guidance/get-confirmation-from-hmrc-that-you-are-trading-in-the-uk

• Some member states require the claims to be submitted by a fiscal representative, meaning that as UK businesses are not established in the EU, they cannot file the claim themselves.

• Member states can set a minimum refund amount and will not refund claims below this limit. These can range anywhere from around €25-€250.

Get in touch

As part of the international network Baker Tilly, and together with our colleagues throughout the EU we are happy to assist with the preparation of the claims. If you need any further assistance, please get in touch