If you are registered for VAT in a member state of the EC or indeed, registered for business purposes outside the member states of the EC, VAT can be reclaimed in respect of most business expenditure incurred in these countries.
This may be of particular relevance to film and TV production companies that undertake production activities in these countries.
Each member state has its own set of rules relating to the type of expenditure on which VAT cannot be recovered and also the minimum amount for which a claim can be made. However, and of crucial significance, is the time limit for submission of these claims. This must be made no later than six months from the end of the calendar year in which the VAT was incurred.
This deadline is strictly adhered to and there is no flexibility or discretion shown by the appropriate VAT authorities on this matter. Accordingly, advice should be obtained at an early stage to ensure that the claim is processed in good time.
Nyman Libson Paul has helped a number of UK and overseas businesses successfully recover this VAT either directly or through our alliances with local agents. Most recently, a VAT refund of approximately £1 million was recovered for a major Hollywood studio following lengthy negotiations and discussions with the Italian VAT office. We would be pleased to assist you with any queries relating to unclaimed VAT in the EC.