Buying from the UK but being charged VAT

VATtaxedman

Im a business buying wholesale goods in the UK shipped to a UK address (freight forwarder) who will then ship to me in Canada where they will be sold to consumers. My supplier says since its being shipped to a UK address he must charge VAT but I can contact HMRC for how to collect it back. Would this be a possible scenario to collect VAT back from the HMRC? Is there a specific department for this?

The products in question are outdoor items.

Im from Canada and am unable to call the UK HMRC # and in a different time zone. I contacted HMRC on FB and they sent me this link gov dot uk/guidance/vat-on-goods-exported-from-the-uk-notice-703?#conditions-for-zero-rating-in-specific-circumstances

Which appears to be "no".

Notes: My supplier cant ship directly to Canada, out of the question (distributor rules). They also are forced to charge VAT. The only way out appears is to request it back from HMRC.

Thoughts? Suggestions?

londoninvestor

I don't know the answer to your question, but note:
https://www.gov.uk/government/organisations/hm-revenue-customs/contact/vat-enquiries

HMRC wrote:

Outside UK:
+44 2920 501 261

Opening times:
Monday to Friday: 8am to 6pm

6pm UK time means you should be fine to call in the early-ish morning from Canada.

00ec25

your supplier is perfectly correct to charge VAT since the goods are being delivered to a UK destination as you have not provided evidence that they will be exported to Canada within 3 months of the earlier of you either paying for them or them physically leaving the supplier's premises.

the easiest solution is for you to provide to your supplier upfront evidence that the goods will be exported from the UK within 3 months of the supplier selling them to you. If you can do that, they can be zero rated by your supplier from the outset

section 6.6 of the vat notice HMRC sent you covers the above
https://www.gov.uk/guidance/vat-on-goods-exported-from-the-uk-notice-703#conditions-for-zero-rating-in-specific-circumstances

goods sent via a freight forwarders is such a common scenario I am surprised the shipping company has not advised you on what it can provide to assist with the documentary evidence

sheramber

you can make an online enquiry here

https://www.tax.service.gov.uk/shortforms/form/VATGenEnq?dept-name=&sub-dept-name=&location=47

Thrugelmir

00ec25 wrote: »

the easiest solution is for you to provide to your supplier upfront evidence that the goods will be exported from the UK within 3 months of the supplier selling them to you. If you can do that, they can be zero rated by your supplier from the outset

Breaches distribution agreement. As amounts to exporting.