Please note that the addition of vat to our charges is governed by very complicated statutory provisions and extra-statutory guidance. We have set out a general guide below.
Services directly relating to land or property within the UK have VAT at the current rate, added to our charges irrespective of where the customer belongs or whether they are a business or not.
Probate / Estates
Services in the general administration or winding up of a deceased’s estate, even if that estate includes land or property are not made to beneficiaries but to the estate – this is seen as whoever is appointed executor or administrator, although they may also be a beneficiary.
The place where the client belongs is deemed to be where the supply is made. Charges for services that we deliver in connection with winding up of a deceased’s estate where the client belongs in the UK or any other EU country have VAT added at the current rate. Where the client belongs elsewhere no VAT is added.
If there are land-related services included within estate work then we would need to identify if the work relating to land is ancillary. We would advise of the VAT position accordingly once we receive full details of the estate.
Employment Tribunals & Debt Recovery
Services relating to employment and debt recovery for VAT purposes are deemed to be supplied where the supply is made to. Charges for services that we deliver to a client (business or individual) belonging within the UK or an individual or business not registered for VAT elsewhere in the EU are charged with VAT added at the current rate.
If the services are delivered to a business outside the UK but within the EU and providing that commercial evidence is provided such as a VAT number, our supply will be outside the scope of UK VAT and subject to the reverse charge so our charges would not have VAT at the current rate added.
Charges for services to individuals or businesses who belong somewhere outside of the EU do not have VAT added at the current rate. The supply of services in this instance is outside the scope of both UK and EU VAT.