VATREG37400 - Non-established taxable persons (NETPs): requirement to appoint a VAT representative

The Department has the power under the VAT Act 1994, section 48(1) to direct an NETP whose business is not established in the EU to appoint a VAT representative.

Once appointed, the VAT Representative is responsible to the same extent as the taxable person for all aspects of the taxable person바카라 사이트™s VAT affairs including liability for VAT.

This power was strengthened as part of a package of measures introduced in Finance Bill 2016 to tackle VAT evasion through online sales.

From 7 November 2016, the Department has the power to direct an NETP which has no EU establishment to appoint a VAT representative who

  • is established in the UK, and
  • is fit and proper (see VATREG37410).

You should only agree to the appointment of a particular individual in the capacity of a VAT Representative if you are confident that they will be able to, if necessary, meet their principal바카라 사이트™s VAT debts. (It is likely that anybody acting as a VAT Representative will need to have taken out some form of financial protection.)

From 13th October 2016, the Department may choose to require some form of security from a taxable person who is not established in the UK whether or not there has been any direction regarding the appointment of a VAT representative.