Global, Installation and Telecom Contracts

Global Contracts

A US company that offers a Global Contract for services to customers in the USA or EU may be liable for VAT. When a company has a global contract with the US company or international providers where part of the services are done in Europe, this business might also incur VAT.

In order to get the VAT refund, it may be necessary to register for VAT in one or more EU countries, and to charge VAT to the customer. Sometimes the VAT can be reclaimed without prior registration.

Telecom and Network Services

A North American company that offers a Global Contract for Telecom and Network services to customers in North America or EU may be liable for VAT. A North American company that has a global contract with a North American or international provider where part of the services are done in Europe, might also incur VAT.

In order to get the VAT refund, it may be necessary to register for VAT in one or more EU countries, and to charge VAT to the customer. Sometimes the VAT can be reclaimed without prior registration.

Installation and Maintenance Contracts

A North American company that offers an Installation and/or maintenance contract to customers in the EU may be liable for VAT. A company that is invoiced for these services from EU vendors might also incur VAT.

In order to get the VAT refund, it may be necessary to register for VAT in one or more EU countries, and to charge VAT to the customer.

Global VaTax will assist in assessing the VAT rules and also with the VAT registration and management of the VAT. This may ultimately save the company 17-27% of the cost of doing business in EU.