VAT & GST
UK international VAT invoices: exports, services and reverse charge
UK invoices must combine the ordinary invoice particulars with a place-of-supply and export analysis. Whether UK VAT appears depends on what is supplied, where it is supplied and who receives it.
Decision summary
- Include the standard UK invoice particulars before tax-specific wording.
- For services, establish the place of supply and customer status.
- For exported goods, retain evidence and meet the relevant time limits.
- Use reverse-charge wording only when that mechanism applies.
Build the invoice from the UK core requirements
A UK invoice should carry a unique identification number, supplier and customer details, a clear description, supply and invoice dates, amounts, VAT where applicable and the total owed. VAT invoices add registration and tax information.
A limited company should use its full registered name. A sole trader has separate identity and service-address requirements. Customer purchase-order fields can help payment but do not replace the statutory details.
Cross-border services begin with place of supply
Under the general B2B services rule, the place of supply is commonly where the business customer belongs. If that place is outside the UK, the supplier usually does not charge UK VAT, though local obligations may still arise. For B2C services, the general rule commonly follows the supplier, subject to significant exceptions.
HMRC identifies special rules for land, events, transport, digital services and other categories. Confirm which establishment receives the service when a customer operates in more than one country.
Exported goods need an evidence trail
Goods exported from Great Britain can be zero-rated when the conditions are satisfied. The invoice should identify the supply and tax treatment, while customs declarations, bills of lading, courier evidence and commercial records support the movement.
Northern Ireland can follow different rules for movements of goods involving the EU. Treat the UK destination or origin precisely rather than assuming Great Britain and Northern Ireland are interchangeable for VAT.
When a UK customer applies the reverse charge
A UK business receiving many services from a non-UK supplier may need to account for UK VAT through the reverse charge. The overseas supplier's invoice should clearly describe the service and avoid showing UK VAT unless the supplier has a separate obligation to charge it.
The UK also operates domestic reverse-charge regimes in specific sectors. Their statutory wording and scope should not be copied to ordinary cross-border services without checking the relevant rule.
Review point: The safest invoice note identifies the mechanism in plain language and avoids a legislative citation unless that citation has been verified for the supply.
Common questions
Do I charge UK VAT to a US business customer?
For many B2B services the place of supply is where the customer belongs, so UK VAT may not be charged. Goods and special services require different analysis.
Should UK VAT be shown in sterling?
When UK VAT is due and the invoice uses a foreign currency, HMRC conversion and sterling-display rules can apply. Record the conversion method consistently.
Is the reverse charge the same as zero rating?
No. Zero rating applies a 0% rate to a taxable supply; reverse charge moves the accounting obligation to the customer.
Primary sources
Use these current public sources to verify the treatment for your transaction.
- Invoices — what they must includeGOV.UK
- Place of supply of services (VAT Notice 741A)HM Revenue & Customs
- VAT on foreign currency transactionsHM Revenue & Customs