Posts by darkjackal17

ruggedmaker2 said:Are you registered for VAT? If you are, then besides what you mentioned, you also have to record the VAT liability and the input tax in the same period—both in the general ledger and on the VAT form. There isn't actually any cash moving for the tax part itself.
When you file your VAT form for July by August 20th, you'll need to submit it to the IRS along with a declaration for acquiring goods and services from another EU member state.

If you're in the VAT system, you should be getting a notice regarding your tax ID from the IRS any day now. You absolutely have to give that tax ID to the company you're buying the machine from. It shows the foreign firm that you're officially part of the VAT system and that you'll be handling the tax calculation yourself. If you don't get the ID automatically, you'll have to reach out to the IRS and request one.
Honestly, though, your best bet is probably calling your specific agent at the IRS and asking them directly. From what I've been reading, even the IRS doesn't seem to agree on how to interpret this part.

I am registered for sales tax! Thank you so much for the help!

I have a quick question regarding imports starting from July 1st, 2013.

For instance, let's say I'm importing a printing press from a Canadian supplier valued at $10,000.00.
E, so, is this the right way to handle it: I take that $10,000.00, convert it into US dollars using the exchange rate from the invoice date, and then just record it in my books as a standard entry without any extra duties or paying import VAT, just like I've always done?

If anyone could point me in the right direction on this, I would be absolutely incredibly grateful!