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Written question asked by Baroness Bennett of Manor Castle (Green Party) on Wednesday, 28 October 2020, in the House of Lords. It was due for an answer on Wednesday, 11 November 2020. It was answered by Lord Agnew of Oulton (Conservative) on Thursday, 12 November 2020 on behalf of the Treasury.

Digital Technology: VAT

Question

To ask Her Majesty's Government whether they have collected data on the number of businesses prepared for the ending of access to the VAT MOSS system on 31 December; and what plans they have to seek an extension of access to VAT MOSS for UK businesses.

Answer

VAT MOSS is an EU simplification. The UK will lose access to this at the end of the transition period and will not be seeking an extension. There are approximately 2,000 UK businesses registered on the VAT MOSS system in the UK. Businesses can continue to use the VAT MOSS system if they register in an EU Member State after the transition period. HMRC have published guidance on this and will also be contacting all businesses registered on the VAT MOSS system in the UK to explain the options available to them.[1]

[1] The guidance can be found at https://www.gov.uk/guidance/pay-vat-when-you-sell-digital-services-to-eu-consumers-from-1-january-2021

Secondary information

Type
Written question
Reference
HL9705
Session
2019-21
Subjects
Digital technology VAT UK trade with EU Brexit
Link
View this Written question on www.parliament.uk