HMRC assessment – £28k saved

The client

Our client is the Leicester-based UK subsidiary of a US company. The client received a HMRC assessment linked to a commission payment it was paid for acting as an agent – in HMRC’s eyes, the commission was standard rated and VAT was due.

Our success

As the commission payment was made by the US firm, it related to sales of goods that originated in the US and the sale itself was made in the US, we contended that no VAT was due.

This argument was successful, and our client avoided paying a VAT bill of £28,000.

Talk to us about overseas VAT liabilities

Dealings with overseas businesses, or multinational companies, can be complex, but our VAT experts can ensure you never pay more than you need to.