HMRC have published Revenue and Customs Brief 4/16 which sets out some additional simplifications for traders subject to the 2015 VAT changes.
The changes, detailed here, led to problems for many small businesses. HMRC have therefore announced that traders below the UK VAT registration threshold but registered for MOSS can evidence where customers belong by reference to just one piece of information. This is as opposed to the two pieces from a set list which the EU VAT rules stipulate. Secondly, HMRC believe that a number of those people registered for MOSS might not actually be in business for VAT purposes. It will therefore be in contact with those people to look into ways they might be de-registered from using MOSS.
This is good news for small traders and a positive step by HMRC. However, it will be interesting to see how HMRC interpret the “business” position of these traders, as this has traditionally been a very subjective area of VAT.