Do I need to pay VAT when trading within the EU with UK based company?

Hi there,

My company is based in the UK and as a new one it is below the threshold for VAT registration.

So my question is: do I need to be VAT registered and to add extra 20% to my clients when the goods comes from Italy and goes to Germany for instance. I sell only B2C.

Thank you in advance!

Hi @Attimo ,

Hyde here from Shopify.

Brexit has undoubtedly complicated matters and in many respects, questions like these will get different answers depending on who you ask and as the landscape changes. We do have a document here that acts as a good starting point, but it is not a comprehensive guide to your tax status. So it is fundamental that you consult with your local tax authority (as opposed to an online forum) for the most accurate information.

I hope that helps!

All the best, Hyde.

Did you see my question answered in this article? I don’t…So is this export or not? /if I have to modify the question/.

Thank you in advance!

If you do not see your question answered, you will need to speak to a local tax consultant, as Shopify cannot advise you on your tax status.

All the best, Hyde.

1 Like

Thanks, Hyde! You are right!

Hey, @Attimo

When it comes to tax regulations and laws, these vary region to region. For this reason I would recommend getting in touch with a tax professional so that they can guide you on when/if you need to be VAT registered and what scenarios should that tax be applied. From there, you can configure your tax settings as such in Shopify.

If there is anything else I can help you with, please let me know.