Services supplied where performed (rules until 31 December 2020)

Produced by Tolley
Services supplied where performed (rules until 31 December 2020)

The following Value Added Tax guidance note Produced by Tolley provides comprehensive and up to date tax information covering:

  • Services supplied where performed (rules until 31 December 2020)
  • Introduction
  • What types of services are included within this category?
  • Valuation and work on moveable goods
  • What are goods?
  • What constitutes ‘work on goods’?
  • What constitutes ‘valuation of’?
  • Work on goods to be exported outside of the EU
  • Supplies that are not considered to be ‘work on goods’ or ‘valuation’
  • Services relating to culture, artistic, sporting, scientific, educational, entertainment or similar activities
  • More...

Introduction

The EU was aware that the place of supply rules were burdensome as they created the requirement for EU businesses to VAT register in other EU member states. The Commission determined that it would be more effective for the ‘relevant business person’ to account for any VAT due rather than making the supplier register for VAT in the country where the services were physically performed. As a result, the VAT treatment of these types of services has started to be simplified and a number of the services became ‘reverse charge’ services with effect from 1 January 2010 and January 2011. The current VAT rules are explained below.

The references to B2B mean a relevant business customer (providing the services are not used for wholly private purposes) and B2C means business-to-consumer (private / non-business customer).

What types of services are included within this category?

The following is the summary of the types of services that are included within the ‘supplied where performed’ category:

  1. services involving either the valuation of or work on moveable goods (ie not goods that are treated as land and property) ― this would include repairs, maintenance, installation / assembly and manufacturing (where the installer / manufacturer does not own the goods)

  2. services relating to culture, artistic, sporting, scientific, educational, entertainment or similar activities ― this includes organising fairs and exhibitions, and any ancillary services connected with the provision of any of these services

  3. admission to cultural, artistic, sporting, scientific, educational, entertainment or similar events, and any ancillary services connected with admission to these types of events

  4. certain restaurant and catering services (excluding on board a means of transport)

Further details regarding the services listed above are provided below.

Valuation and work on moveable goods

In order to determine whether the services provided are included within this category, it is necessary to determine what are deemed to be ‘goods’ and what is deemed to be ‘valuing of’ or ‘work on goods’. A brief overview is below.

What are

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