How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • Go back-and-forth until satisfied
    Rate the answer you receive.
Ask bigduckontax Your Own Question
bigduckontax
bigduckontax, Accountant
Category: Tax
Satisfied Customers: 10608
Experience:  FCCA FCMA CGMA ACIS
75394688
Type Your Tax Question Here...
bigduckontax is online now

I am taking an online vocational training course from a UK

Customer Question

Hi, I am taking an online vocational training course from a UK provider. I live in the US. Can I reclaim the VAT I have to pay?
JA: Have you talked to a tax professional about this?
Customer: no
JA: Is there anything else the Accountant should know before I connect you? Rest assured that they'll be able to help you.
Customer: I don’t believe so?
Submitted: 18 days ago.
Category: Tax
Expert:  bigduckontax replied 18 days ago.

What VAT; these are exports, a zero rated supply, so VAT should have been levied at 0% so there is nothing to reclaim?

Customer: replied 18 days ago.
VAT is being levied at 20%. The school is a UK based school, which also offers distance learning. The school confirmed the VAT was payable by me, an individual (not business).
Expert:  bigduckontax replied 18 days ago.

Twaddle, piffle and balderdash; educational services are outside the scope of VAT and even if these were then the rate chargeable is 0% as the services are exports.

Customer: replied 18 days ago.
Ok, we’ll they are sure the VAT is payable. Perhaps there is a different category of educational services. They said the only time the VAT was not payable by overseas students is when a business is paying the fee.
Expert:  bigduckontax replied 18 days ago.

Not so, educational services are outside the scope of UK VAT, you are being canned; watch out..

Customer: replied 18 days ago.
Here is what they responded:If the customer is an individual, you should be charging UK VAT as the place of supply is treated as the UK even if the person lives abroad.
Expert:  bigduckontax replied 18 days ago.

You are being conned.