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HMRC internal manual

VAT Place of Supply of Services

HM Revenue & Customs
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Intermediary services: Identifying the place of supply

Intermediary services supplied B2B fall within the general rule (VATPOSS06200). However, different rules apply when an intermediary arranges a supply B2C.

To determine the place of supply of the B2C service of an intermediary you must establish exactly what supply is being arranged and the place of supply of that service. The supply by the intermediary will then follow the place of supply of the service being arranged.

Example 1

A UK intermediary, working for a French non-business customer, arranges a supply of goods from a French supplier. The place of supply of the goods is France and so the intermediary’s service is also subject to French VAT, where he may be required to register.

Example 2

An intermediary arranges for a UK lawyer to provide legal services to Jamaican resident (who is the intermediary’s customer). The legal service is outside of the scope of UK VAT and so the intermediary’s service will be as well.