Commentary

V7.247A Imports and acquisitions—fulfilment houses

Part V7 Tax planning
Part V7 Tax planning | Commentary

V7.247A Imports and acquisitions—fulfilment houses

Part V7 Tax planning | Commentary

V7.247A Imports and acquisitions—fulfilment houses

At the 2017 Spring Budget, the Government announced that it was to introduce new legislation to clamp down on VAT avoidance and VAT evasion in relation to the supply of goods in the UK by third country traders selling goods online via fulfilment houses and who avoid their UK VAT obligations. Such avoidance not only deprives the Treasury of revenue, but it also creates distortion of competition between third country sellers and sellers based in the UK who are already VAT registered and account for VAT correctly on the same or similar supplies.

HMRC is tackling this problem with a two-pronged attack. Firstly, fulfilment houses are now obliged to register with HMRC

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