Vat

journeys

Hi, I am a sole trader that organises trekking holiday in Nepal.
Can anyone tell me if I am liable to pay vat,or i am exempt because my place of supply is abroad.
many thnks Richard

silvercar

Do you mean paying VAT to your suppliers in Nepal? There would be no VAT because Nepal is not in the EU.

If you mean charging your customers VAT, that depends if you are registered.

JasonLVC

If your only supply is made in Nepal (ie, you don;t go trekking anywhere else), then you are not making any supplies in the UK and therefore not able to register for VAT in the UK anyway.

If you offer services in the UK as well, you may want to read up on something called TOMS (Tour Operator Margin Scheme). You don't have to be a tour operator to use it. if you buy in accomm and travel overseas and tehn you resell it in the UK you will come under this scheme and it has different VAT thresholds and rules to what you'd normally expect.

Suggest you speak to your accoutnant about this - it can be a trick ysubject - if you want to offer some more details as to where your cusrtoemrs are based and whether you do other stuff elsewhere then I might be able to assist a little further for you here on this forum.

journeys

Hi Jason, many thanks for your time.
The only destination I have is Nepal.
I pay an agent there for internal travel, and accommodation.
I do not organise travel to Nepal.