Irish VAT MOSS Shock

7th September 2015

A client recently sent me an email showing a terrifying demand from the Irish tax office for over 1 million Euros under the VAT MOSS scheme which was payable within 10 days.   This was a shock as the client had already paid over their VAT MOSS bill for the quarter through the UK system which totalled less than £50! 

Due to the excessive amounts involved this initially appeared to be a scam which, from a quick search on the internet, apparently many VAT MOSS registered businesses were receiving at the same time.   However within a day the Irish Revenue confirmed it was actually them that had sent out approximately 2,000 letters incorrectly due to a ‘technical error’. 

http://www.revenue.ie/en/spotlights/vat-moss-cases.html 

Most of these demands which businesses shared on social media were for hundreds of thousands of Euros when in reality these small businesses had registered to pay over a few pounds of non-UK sales.  (Leading to the #VATMESS moniker on Twitter!). 

A worrying aspect to this is how a UK business details were obtained by another EU member state and whether there were to be any further letters from other member states to follow. 

Author: Alex Koupland, Manager

Plus Accounting, Chartered Accountants 

 

Any views or opinions represented in this blog are personal, belong solely to the blog owner and do not represent those of Plus Accounting. All content provided on this blog is for informational purposes only. The owner of this blog makes no representations as to the accuracy or completeness of any information on this site or found by following any link on this site. 

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