VAT – 11 most common mistakes

Below you can find a list of VAT-related mistakes made by our clients. In most of cases, we were able to help, but sometimes the damage was already done:

  • Lack of knowledge whether there is VAT on sales invoices
  • No distinction made between between private individuals (B2C) and companies (B2B) when invoicing clients in foreign countries
  • Formal errors, parts of the vital invoice details missing
  • The VAT ID number of the customer has not been checked
  • The actual delivery route taken of the goods was not considered when discussing the VAT implications of sales (triangular transactions). Entrepreneurs are required to register themselves in other EU countries and they are not at all aware of it
  • Incorrect VAT handling in case of commission business
  • Import VAT has been declared incorrectly and cannot be reclaimed afterwards– the money is lost for good
  • Import VAT is accrued even for temporary storage whennot making use of a duty-free storage
  • Determing whether there is a supply of goods or of services is especially difficult in case of IT services
  • Online distance selling through the internet – VAT registration in the wrong country
  • Sales via auctions in foreign countries – Liability to pay VAT has not even been considered

Here you can find out about consequences of VAT mstakes.

Find out here how we can help you to avoid these mistakes.