VAT implications on Exporting cosmetics and other retail beauty products to Asia



what are VAT implications of exporting cosmetics and other beauty products to South Asian Countries.

If I buy products from Retail stores and big supermarkets when on offer and export it outside UK. Can I claim the VAT on those products and also am I legally allow to re-sale the products bought from big retailers.

please if some one from the group can share their thoughts on the issue.



If you are a UK based company that is registered for VAT then you can claim back VAT paid on your UK purchases when you submit your VAT return. Make sure you get VAT receipts from the retailers.



Another thing to consider, if you sell to other VAT registered businesses in Europe there are rules to follow in dispatching goods (see SIngle Market VAT notice 725). Goods sold to businesses can be zero rated, provided you get the VAT number of the buyer. If you sell above certain limits to any one EU country, you may need to register there.

Goods sold to private individuals are considered UK sales and UK VAT has to be added to the sale.

UK VAT on expenditure can be recovered via your VAT return.




If one of the brands that you buy on special offer from a supermarket , has an exclusive distribution agreement in one of the countries that you are re-selling to you, may face problems down the line.
Remember Levis and Asda/Walmart?
On the other hand if you are looking to do it in a sustainable business way, why not approach the brands concerned directly. The wholesale export prices may be better than the offers from the supermarkets.

Export Action Plan