How to claim a VAT refund in the UK if you're established outside the UK.

Updates to this page

30 October 2026 Information about submitting an electronic claim for a VAT refund has been updated at section 2.10.

Information about submitting an electronic claim for a VAT refund has been updated at section 2.10.

1 October 2026 The reference to the 'Northern Ireland Protocol' has been replaced with the 'Windsor Framework'.

The reference to the 'Northern Ireland Protocol' has been replaced with the 'Windsor Framework'.

8 September 2026 Sections ‘1.2 Laws that cover this notice’, ‘2.6 VAT groups’, ‘2.10.3 Postal claims’, ‘2.12.1 Certificate proving your business activity’ and ‘2.12.2 Submitting an electronic certificate’ have been updated with the change in HMRC's policy position in relation to VAT grouping.

Sections ‘1.2 Laws that cover this notice’, ‘2.6 VAT groups’, ‘2.10.3 Postal claims’, ‘2.12.1 Certificate proving your business activity’ and ‘2.12.2 Submitting an electronic certificate’ have been updated with the change in HMRC's policy position in relation to VAT grouping.

3 July 2026 Guidance in section 2.14 Appointing an agent to make claim on your behalf, has been updated to explain that if you use an agent to act on your behalf, they may need to register as a tax adviser with HMRC.

Guidance in section 2.14 Appointing an agent to make claim on your behalf, has been updated to explain that if you use an agent to act on your behalf, they may need to register as a tax adviser with HMRC.

2 May 2025 Section '2.10.3 Postal claims' has been updated to show that copies of documents are required for postal claims, with the exception of a certificate of status, as documents are no longer returned. Section 'Request access to the Secure Data Exchange Service' has been removed and information previously covered under this section has been moved to section '2.10.1 Electronic submission of claims'. Additionally, several sections have been renumbered and small non-factual wording changes have been made to improve readability.

Section '2.10.3 Postal claims' has been updated to show that copies of documents are required for postal claims, with the exception of a certificate of status, as documents are no longer returned. Section 'Request access to the Secure Data Exchange Service' has been removed and information previously covered under this section has been moved to section '2.10.1 Electronic submission of claims'. Additionally, several sections have been renumbered and small non-factual wording changes have been made to improve readability.

29 February 2024 The sections ‘VAT groups’, ‘Email security’ and ‘Electronic signatures’ have been added. The sections ‘VAT paid on imports’, ‘Application form’, ‘Certificate of status’, ‘Method of payment’ and ‘Application rejected’ have been updated.

The sections ‘VAT groups’, ‘Email security’ and ‘Electronic signatures’ have been added. The sections ‘VAT paid on imports’, ‘Application form’, ‘Certificate of status’, ‘Method of payment’ and ‘Application rejected’ have been updated.

17 October 2022 The sections 'Electronic submission of claims' and 'Postal claims' have been added. Removed the section 'How UK and Isle of Man businesses can claim EU VAT'.

The sections 'Electronic submission of claims' and 'Postal claims' have been added. Removed the section 'How UK and Isle of Man businesses can claim EU VAT'.

23 December 2021 Section '3.7.2 Certificate proving your business activity' has been updated with information about when HMRC may still accept a certificate of status submitted after the relevant deadline.

Section '3.7.2 Certificate proving your business activity' has been updated with information about when HMRC may still accept a certificate of status submitted after the relevant deadline.

1 December 2021 The Secure Data Exchange Service system (SDES) trial ended on 30 November 2021, the information on electronic submission of VAT refund claims using SDES has been removed.

The Secure Data Exchange Service system (SDES) trial ended on 30 November 2021, the information on electronic submission of VAT refund claims using SDES has been removed.

9 September 2021 The section 'Electronic Submission of Claims from Agents' has been added.

The section 'Electronic Submission of Claims from Agents' has been added.

4 June 2021 Information about the rules for claiming VAT has been added to section 3.2 and section 4 has been updated with information about refunds for EU businesses incurred on or before 31 December 2020.

Information about the rules for claiming VAT has been added to section 3.2 and section 4 has been updated with information about refunds for EU businesses incurred on or before 31 December 2020.

22 April 2021 Sections 2, 3.1, 3.3, 3.4 and 4.6 have been updated and section 4.9 has been added to the guide.

Sections 2, 3.1, 3.3, 3.4 and 4.6 have been updated and section 4.9 has been added to the guide.

9 February 2021 Updated information on the law that relates to this guidance.

Updated information on the law that relates to this guidance.

31 December 2020 First published.

This notice applies to supplies made on or after 1 January 2021.

Find out about supplies made in Northern Ireland.

1. Overview

1.1 What this notice is about

This notice explains how businesses established outside of the UK can reclaim VAT incurred in the UK. It also explains that UK and Isle of Man businesses can claim a refund of VAT incurred abroad.

1.2 Laws that cover this notice

The UK laws that cover this notice are:

Value Added Tax Act 1994, Section 39

Value Added Tax Regulations 1995 (SI 1995/2518) Parts 20A and XXI

1.3 Isle of Man

For VAT purposes, the Isle of Man is treated as part of the UK. VAT is chargeable in the Isle of Man under Manx legislation, which is similar to UK legislation. The scheme described in this notice also applies to refunds of VAT incurred in the Isle of Man. Any references to the UK in this notice include the Isle of Man.

2. Refunds of UK VAT for businesses established outside the UK

2.1 What this scheme is for

You may have to pay UK VAT if you’re registered for business purposes abroad and you buy goods or services in the UK. This does not apply if you buy goods for export, but it may apply if what you buy is used in the UK. For example, if you take part in a trade fair.

You cannot treat this VAT as input tax if you’re not registered for VAT in the UK. You may be able to use this scheme to reclaim VAT charged on:

purchases of goods and services used in the UK

2.2 Who can apply

If you’re registered for business purposes in a country outside the UK, you may use the scheme to reclaim VAT paid in the UK. You can do this if you meet the 2 following conditions:

you are not registered, liable or eligible to be registered for VAT in the UK — find more information in Who should register for VAT (VAT Notice 700/1).

you have no place of business or other residence in the UK and do not make any supplies in the UK (other than transport services related to the international carriage of goods, or supplies where VAT is payable by the person in the UK to whom the supply is made)

It is a condition of the scheme that your own country allows similar concessions to UK businesses in respect of its own turnover taxes. Your application will only be refused on these grounds if your own country has a scheme for refunding these taxes but refuses to allow UK businesses to use it.

If you are an EU business and your claim relates to VAT on expenditure incurred on goods in Northern Ireland, read claim VAT refunds in Northern Ireland or the EU, if you’re established in Northern Ireland or in the EU.

2.3 Goods and services you can and cannot reclaim VAT on

During the refund period you can claim UK VAT on:

goods and services purchased in the UK

goods imported into the UK

You cannot use the scheme to reclaim VAT on:

goods and services used for non-business activities — if a supply covers both business and non-business use, VAT can be reclaimed on the business element of the supply

any supply used or to be used to make a supply in the UK

the supply or importation of most ordinary business cars — only 50% of the VAT incurred on the hire of lease of a car for mixed business and private purposes is allowed

certain second-hand goods, like cars and antiques, for which no VAT invoice will be issued

business entertainment or hospitality expenses — VAT on entertainment for overseas customers may be reclaimed but only if it is of a very basic nature

export of goods (whether direct or indirect), but these may be zero-rated, provided the supplier has the necessary evidence — find more information in VAT on goods exported from the UK (VAT Notice 703)

goods and services you have bought for resale which are for the direct benefit of travellers — for example, hotel accommodation

any supply used, or to be used, to make an exempt supply outside the UK (for this purpose an exempt supply is a supply described as exempt in Schedule 9 to the Value Added Tax Act 1994, whether or not the place of the supply is in the UK)

goods that can be claimed under the Windsor Framework

There is also a VAT Retail Export Scheme which allows non-EU visitors a refund of VAT on certain goods that they buy in Northern Ireland. For more details of the scheme, read guidance on the Retail Export Scheme (Northern Ireland).

2.4 Partial exemption

In most cases, where goods and services are used to make both taxable and exempt supplies, you can only recover VAT to the extent that they are used to make taxable supplies. For more information, read Partial exemption (VAT Notice 706).

2.5 VAT paid on imports

If you’re importing goods into the UK, you can reclaim any VAT due if there is no VAT relief available at import. But you’ll not be able to use the scheme if, as a result of importing the goods, you become liable to register for VAT in the UK.

Import VAT may only be claimed by the owner of the goods. For VAT purposes, ownership means you have ‘the right to dispose of goods as owner’.

Find out about paying VAT on imports from outside the UK to Great Britain and from outside the EU to Northern Ireland.

2.6 VAT groups

The business that incurred the VAT must submit the claim. The representative member of the VAT group may only submit a claim for VAT it has incurred. The claim must include the full business names of all VAT group members during the application period.

2.7 Application periods

The refund period is the 12 months from 1 July to 30 June of the following calendar year. This is called the prescribed year.

The period covered by an application must not be more than the prescribed year or less than 3 calendar months, unless the period covered represents the remainder of the prescribed year. For example, where applications covering earlier periods have already been submitted.

You can also include items missed on earlier applications as long as they are related to VAT charged in the prescribed year.

2.8 Minimum amount for a claim

If the refund application relates to a period covering less than the full prescribed year but is at least 3 calendar months, the minimum amount claimable is £130.

The minimum amount claimable is £16 if the refund application relates to either a period covering:

less than 3 calendar months where it represents the remainder of the prescribed year

2.9 Time limits for making an application

You must submit your application by 31 December following the end of the prescribed year.

The prescribed year is the 12 months from 1 July to 30 June of the following calendar year, so you must make your application no later than 31 December.

To ensure fair treatment for all claimants, applications are dealt with on a ‘first come, first served’ basis and the time limit is applied strictly.

2.10 How businesses established outside the UK can claim refunds of UK VAT

You can submit claims electronically using the Transfer files sec…