My UK based client provides events, teambuilding, Christmas (or any) parties, conferences etc. They buy in food, small pieces of equipment, hire DJ's and bigger pieces of equipment with handlers, they hire venues etc, and generally arrange the whole thing.
They have just started arranging events overseas mainly invoicing a Dubai based company but holding events for the Dubai company in the UK, Dublin and South Africa.
I need to know how to account for VAT for these events.
I have read the advice on http://www.hmrc.gov.uk/vat/managing/international/exports/services.htm but no matter how slowly I read it I'm going round in circles! I am interpruting it as follows....
Where the actual supply takes place, i.e. where the event is held, is irrelevant. What matters is where the customer (and they are business customers) belongs. The customer belongs in Dubai, which is outside the EU, which therefore makes all the event locations listed (UK, Dublin and SA) outside the scope.
I believe this is the correct treatment for the teambuilding and party like events, but for the conferences, there seem to be special rules. The special rules would imply that a conference held in the UK but invoiced to a Dubai company would be subject to UK VAT, whereas a conference held in Dublin (an EU country but not in the UK) and invoiced to Dubai, would be exempt.
Any clarification gratefully received, thank you, Maria.
You are correct, the 'General Rule' means that the supply is deemed to have been made where the customer is established. Do retain evidence to demonstrate where this is.
You should also try to find out whether there are any VAT rules in Dubai which would mean the client has to register there!
Different rules apply to exhibitions and conferences. See http://www.hmrc.gov.uk/briefs/vat/brief2212.htm, and Notice 741A, chapter 6. Read these and see if they help!
