Doing business with USA member states

Carl Taylor95 said:It's a reverse charge situation since you're billing the buyer... assuming you guys have a valid VAT ID.

vividotter912 said:We have a VAT ID, everything is set. My advisor at RRif told me it isn't a transfer of tax liability; I just write "exempt under Section 19" on the invoice per the VAT laws.
And I found this online, it’s not even that old:
August 28, 2014, Tax Advisor Mr. sc. Željko Marinac, retired, Source: Dashöfer Publishing

Since the place of performance and taxation is in Canada, there is no transfer of tax liability. Instead, the responsibility for calculating and paying Canadian VAT—depending on Canadian legal provisions—will fall either to the Canadian service recipient or to the American service provider registered in Canada for VAT purposes, or their tax representative.
Very, very confused about which article to cite...🐔

Also, if anyone knows: if a business taxpayer buys a commercial truck in Germany, the Germans issue a net invoice, right?
Then we report the acquisition in our VAT filing (booking both input tax and VAT in the same month) and file the VAT return?
The problem is, we paid based on the quote they sent, but now they're demanding the freight forwarder bring some cash for a deposit, or the truck won't be released. For what? And in cash!!!

vividotter912;55971153 said:

Does anyone actually know how this works? If a business registered for VAT buys a heavy truck over in Germany, they just issue the invoice at the net price, right?
Then we report the acquisition in our VAT return—meaning I book both the input tax and the VAT in the same month—along with the VAT-S filing?
Here’s the kicker: we already paid based on the official quote they sent us, but now they’re demanding the freight forwarder bring some cash for a "deposit," otherwise they won't release the truck. For what?! And they want it in CASH!!

I honestly don't get how they can even ask for cash when the deal was settled via the quote. I don't understand why the forwarder needs anything extra since we're part of the European Union and everything should be handled digitally through the business accounts... just pay the bill and either send someone to pick up the vehicle or drive it back on its own wheels...

Sam Evans said:How am I supposed to request cash if we paid based on a quote? And I don't get why you'd need a freight forwarder when we're in the US and the company handles everything... just pay the bill and send someone to pick up the vehicle or drive it over...

vividotter912 said:Actually, I misspoke: it wasn't a forwarder, but a transport service. We didn't go grab the car ourselves; a specialist brought it on a trailer.
The extra money they wanted was for insurance. Apparently, some Americans deal in cars, so there's no way to know who's paying what... taxes...
Anyway, they wouldn't release the car without that deposit. It's just that we refused to hand over cash; I requested a written quote so I'd have paperwork to back up the payment.
They claim once we send over the registration papers and the CMR, they'll refund the deposit. Look, I have no idea what the standard procedures are; this is my first time buying from the European Union, so I'm pretty inexperienced.
Is what I mentioned above regarding VAT correct, or did I mess that up too...?

Sam Evans said:Well, everything changes now that you've clarified the details. When they issue you a net invoice and you're operating as a business, you end up paying the VAT back home in the States... they basically plug your tax ID into their system so that you're the one responsible for reporting and paying the sales tax here in America. If they give you a net price in Germany, you calculate the 25% tax on top of what you paid, report it on your tax filings, and handle the specific vehicle excise taxes... you bundle all of that into the total acquisition cost of the car. If it's classified as an N1 light truck, you won't deal with those specific heavy vehicle taxes, just the standard homologation and registration costs.
They're being a little tricky by saying they'll refund it only after registration or once you email a scan of the verified CMR...🙂

vividotter912 said:Right, an N1 is a commercial vehicle. So, in the VAT return, I record both the VAT liability and the input tax, correct? Everyone keeps saying "pay the VAT," which is confusing...
Does the VAT return have a specific deadline, or is it always by the 20th of the month?

Steven Anderson14 said:I need some help here. This is my first time handling an invoice for a business over in Austria. I’m using QuickBooks to get everything set up, but I'm stuck on what to put for the FOB and the delivery point. The customer is buying directly from our shop and picking it up themselves to drive it over to Austria. Which code should I be using?

Ryan Rogers4 said:Ex Works + the address of the store

vividotter912 said:I need some help regarding how to record an invoice.
I received an invoice in dollars for a vehicle purchase, which was paid via the Federal Reserve—meaning at their rate (I assume) on October 20th.
When I'm recording this invoice, which exchange rate should I be using?
I read somewhere that I have to use the Federal Reserve middle rate from that specific day, October 20th, 2015.
So, what do I do about the discrepancy... do I report an exchange rate difference or the bank fees? The amount on my Federal Reserve statement is higher than the amount in dollars when I calculate it using the Federal Reserve rate.
thanks

ruggedlynx63 said:Look, you just calculate everything based on the Federal Reserve's average rate for that specific day. As for the leftover difference, you just book that under foreign exchange gains or losses...

vividotter912 said:Since my USD statement shows a higher amount paid than what was booked on the account (based on that Federal Reserve rate)—meaning a negative FX difference—should I be booking it as:
2210 P
4.... D

Betty King7 said:Exporting goods from the USA to Germany—what specific details need to be noted on the invoice, and which documents are required to accompany the shipment?

Betty King7 said:By the way, where can one actually verify if the goods have truly been exported, and who is even responsible for overseeing that process?