Selling goods using an online marketplace or direct to customers in the UK
Find out if you need to pay VAT if you sell goods using an online marketplace or direct to customers in the UK.
UK VAT is a tax on most goods:
- located and sold in the UK
- located outside the UK, then sold and imported to the UK
If you are an overseas seller and make any taxable sales directly to customers in the UK, you must:
- register for VAT in the UK
- account for UK VAT to HMRC
A taxable sale is any transaction made in the UK which is not exempt from VAT.
How VAT is charged depends on if you are selling direct to customers in the UK or through an online marketplace, the location of the goods at the point of sale, and how much they are sold for.
For overseas sellers selling goods to customers in the UK
When overseas sellers need to pay VAT depending on how they sell goods to UK customers. How overseas sellers deal with UK VAT if the goods are returned to them.
For online marketplace operators
When you may need to charge VAT on sales of goods you facilitate. Checking if a seller is established outside the UK to apply liability for VAT correctly. VAT check to make on overseas sellers that need to be registered for UK VAT.