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UK online retailer selling to German customers

Do I need a German VAT number?

Toytown Germany > Discussion forum > Germany-wide > Business
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Caroline5
I also don't spend my entire time on the internet (being single working mother with severely disabled child). Sorry for the delay in response. However, I can assure you this situation is a valid one. Thank you for your time once again.
Johnny English
When to add Mehrwertsteuer to your invoices
YorkshireLad6
QUOTE (Caroline5 @ Sep 25 2008, 11:24 am) *
The complication is that we are selling goods which are zero-rated in the UK, however they are charged at 7% in Germany. We also mainly only sell goods with a value of less than €20..

I'm not sure whether this complicates or simplifies things. Some questions:
- what are these goods exactly?
- is this an "internet" based business - i.e. customer orders on your site, and you arrange shipment of the item from USA to Germany?
- I presume your €20 value is per individual shipment? Is it likely to exceed this?
- What is your likely turnover per year to clients in Germany?
- Do you ship to other EU countries (including UK)?

I'm curious how you can provide value for money on an item under €20 when you have to take into account shipment from USA to Europe - this must be a major %age of the end price to the customer.
Freising
If you are talking about the "Lieferschwelle" according to §3c(3) UStG in germany, it goes like this:
If there is a consignment and the goods are moved from one EU-country (UK) to another EU-country (germany) and the seller is responsible for the shipment and the recipient is a private person, then it´s taxable in the country the delievery ends (germany). The seller has to register in germany and demand german VAT on his invoice.

Unless the seller has had and will have a turnover of less than 100.000 € in germany. In that case the consignment is taxable in the UK and there is no need to register in germany.
Johnny English
I reckon it's drugs or vitamins etc - for example Hoodia.
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