As a follow-on from the previous story, the VAT Information Exchange System (VIES) was put in place by the EU to assist in the policing of the new VAT arrangements from 1 January 1993. Under the VIES legislation, all VAT-registered traders who make intra-community supplies of goods must furnish the Revenue Commissioners with a VIES statement listing such supplies. From 1 January 2010, there are important changes to VIES.

Tax Briefing No. 71 provides details on the changes to VIES as follows:

Introduction of Services to the VAT Information Exchange System – VIES

Council Directive 2008/8/EC (amending Directive 2006/112/EC) provides that, with effect from 1 January 2010, Irish VAT-registered suppliers must submit a VIES statement detailing all the VAT registered customers in other Member States to whom he/she has supplied services in respect of which that customer is liable for payment of the VAT due. Traders may submit on a quarterly basis or monthly if preferred.

Introduction of Monthly Filing Conditions for VIES in Respect of Supplies of Goods

Council Directive 2008/117/EC (amending Directive 2006/112/EC) provides that Irish VAT registered suppliers involved in intra-community supplies of goods must submit a VIES Statement monthly from 1 January 2010 if the supplies exceed €100,000 in any of the previous four quarters. This threshold will be reduced to €50,000 from 1 January 2012. Irish VAT-registered suppliers whose intra-community supplies do not exceed the threshold may report quarterly.

The VIES Notice is reproduced at Section 2.08.