This is called a ‘Distance Sale’, because you are outside the UK and we are sending you your Oarsome Grips from the UK, this means we have to charge you VAT at the UK rate.
If you are a trade customer, we are able to zero rate invoices providing you are registered for VAT and supply us with your VAT number.
More detail Exports, dispatches, supplying goods abroad: charging VAT If you sell, supply or transfer goods out of the UK to someone in another country you may need to charge VAT on them. Generally speaking, you can zero-rate supplies exported outside the European Union (EU), or sent to someone who's registered for VAT in another EU country, provided you follow strict rules, obtain and keep the necessary evidence, and obey all laws. This guide will tell you when you can zero-rate your goods and what evidence you need to keep.
VAT on sales to someone who isn't VAT registered in another EU country
What counts as a sale to another EU country? If you supply goods to a customer in another EU country who isn't registered for VAT in that country, and you are responsible for delivery - that is, they don't collect them - then this is called a 'distance sale'. The most common examples are mail order or internet sales to private individuals in another EU country. However, if you transfer your own goods to another EU country - whether to another part of your organisation, or simply to put in storage - this is treated as if you had made a supply in this country and an acquisition in the destination country. You may therefore have to account for UK VAT unless you are also registered for VAT in the EU country to which they are sent - in which case they can be zero-rated assuming all the usual conditions are met. You may also have to account for acquisition VAT in that country, and so have to be registered there.
Do you need to register for VAT in other EU countries? For distance sales, you must charge VAT at UK rates in the normal way. However, each country has a 'distance selling threshold'. If the value of your sales to that country exceeds this threshold, you must register for VAT in that country, and charge their rate of VAT on sales to that country.
VAT on exports of goods to non-EU countries. VAT is a tax charged on goods used in the EU, so if goods are exported outside the EU, VAT isn't charged. You can zero-rate the sale, provided you get and keep evidence of the export, and comply with all other laws. You must also make sure the goods are exported, and you must get the evidence, within three months from the time of sale. This can be longer for goods that need processing before export and for thoroughbred racehorses. The time of sale is the earlier of: the day you send the goods to your customer the day you receive full payment for them (if earlier) You mustn't zero-rate sales if your customer asks for them to be delivered to a UK address. If the customer arranges to collect them from you - an indirect export - you may be able to zero-rate the sale as long as certain conditions are met.