Tax rules for ticket sales outside the EU
When organising events outside the EU, event organisers face a range of considerations regarding VAT, which can vary based on specific circumstances.
Here are some key points to keep in mind:
EU VAT on Ticket Sales to Non-EU Countries
If you are selling tickets for events taking place outside the EU, you typically do not need to charge VAT on these sales. This is because services such as access to an event delivered outside the EU fall under external VAT regulations, which generally do not levy the tax within the EU.
No VAT on Tickets: Usually, no VAT needs to be charged on ticket sales if the event is actually held outside the EU.
Tax Liability in the Host Country: Sometimes, the country where the event takes place may have its own tax rules requiring taxes on event revenue (e.g., if you provide services or sell goods on-site).
Costs and VAT on Suppliers and Services Outside the EU
When hiring suppliers, venues, or other services in a non-EU country for your event, check if there are applicable taxes or import duties.
Import Duties and Customs Fees: You may face import duties or customs fees when bringing materials or goods into the event country, depending on the type of goods and their value.
No EU VAT, but Local Taxes May Apply: Suppliers outside the EU may not charge EU VAT, but local taxes might apply. For example, if you purchase services in a non-EU country, the country may levy a tax on the services you use there.
VAT in the Event Country
It’s crucial to carefully check the VAT rate and rules in the country where the event is taking place, as some countries may levy VAT on events held within their borders, even if the organiser is from the EU.
Local Tax Obligations: Many non-EU countries have their own tax regimes applicable to events, ranging from taxes on ticket sales to VAT on venue rental and services. It's important to check whether you need to pay tax in the country where the event is held.
Prior VAT Declarations and Refunds
Depending on the event country, you may be able to claim VAT refunds for expenses incurred there, such as for renting a venue or other services, especially if the event is in a non-EU country that allows VAT refunds.
Foreign VAT Refund: It's crucial to determine if you can reclaim the VAT paid in the host country and how to initiate this process. Some countries provide options for foreign businesses to claim back VAT for expenses incurred within the country.
Invoicing and VAT
Consider how you will invoice your non-EU customers. If the event is outside the EU, special rules for invoicing and VAT may apply based on the laws in your customers' countries.
Invoicing without VAT: Typically, no VAT is charged on ticket sales outside the EU, but you should carefully maintain invoices and other documents to substantiate this for tax authorities.
Proper VAT handling not only contributes to a transparent and professional business operation but also ensures compliance across borders. Eventix is here to support you with the right information and tools, so you can focus on hosting successful events all across the world.
EVENTIX TIP: Eventix is not responsible for inserting the correct tax value for your events. When in doubt, always contact the appropriate tax authorities or your accountant.
Thanks for reading! If you have any questions or feedback please feel free to contact us through the chat in the bottom right or send an email to info@eventix.io.