New Reverse Charge due on wholesale telecommunication services in the UK


From 1 February 2016 suppliers of wholesale telecommunication services in the UK will no longer need to charge VAT on their supplies, instead a reverse charge simplification will be introduced that will mean the responsibility to account for the VAT will change to their customer.

This measure is being introduced in order to prevent fraud in this industry and will apply to all wholesale telecommunication services including the routing of telephone calls and associated data (texts and images) over landlines, mobile networks or the internet.

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