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VAT on US Services
aspdaddy




msg:3894552
 1:30 pm on Apr 17, 2009 (gmt 0)

Does a non VAT regd ltd company that buys hosting from the US pay VAT ?

DO they get billed in us$ or ?

Thanks

 

topr8




msg:3894730
 4:40 pm on Apr 17, 2009 (gmt 0)

well you need to make sure you are billed from america.

eg. i am in a similar situation, i pay special scheme vat at a flat rate of turnover with no claiming back of vat.
when i was negotiating with rackspace uk, they told me it was impossible and that i would have to pay vat even if the server was in the us (which is what i wanted)
however i managed to get to talk to a US rep and did the deal with rackspace usa and bingo, billed in us dollars from america and NO VAT, which is a heck of a saving, the sales rep in USA said no problem! [my accountant also ok'd it]

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