Is VAT applicable for sales from UK to Isle of Man?

Is VAT applicable for sales from UK to Isle of Man?

8 0 3



I am a bit confused if the Isle of Man is considered part of the UK in sales, and I'm not sure how to process an order from the UK to there. According to Royal Mail, the Isle of Man is counted as part of the domestic UK, but it seems that the Shopify system does not recognise it as such. Since Shopify does not capture the VAT automatically, should I set it up myself?


Thank you for any help. 




Replies 2 (2)

Shopify Partner
3204 623 899

Hello @CafelatUK ,


Check the steps here 

Here you will find how to collect the VAT


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Shopify Partner
192 12 29

HI Kristal , 


Shopify is not aware of many special situations in the EU and the UK . 

Somehow they separated Aland islands into a "country" (which is correct from  the taxation point of view) , but also they treat Monaco as a separate country, which is not from the 

VAT point of view (it is France)

Isle of Man forms a single territory with the UK, and the VAT rules are broadly identical. This means that VAT is charged on supplies between Isle of Man and UK businesses as if they were domestic supplies.

So just enable IOM in your markets and set taxation to "yes" in the taxes and duties section. Treat supplies there as internal UK supplies. - the best EU and UK VAT compliance solution.