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What is a supply of services?

The supply of a service means “the performance or omission of any act, or the toleration of any situation” other than a supply of goods.

Under the general rule, the place of supply depends on whether customer is a business (B2B service) or a consumer (B2C service):

(a) For B2C services, the place of supply is the supplier’s place of establishment. If the supplier has several establishments, the supply takes place at the establishment most concerned with the supply; if the supplier has no establishment, it takes place at the supplier’s usual place of residence.

(b) For B2B services, the place of supply is where the recipient is established – the reverse charge rule. The supplier must obtain the recipient’s VAT number and record it on the invoice.

The reverse charge rule also applies to supplies of construction services between connected persons.

There are exceptions to the general rule:

1. Supply of services connected with immovable goods Place of supply is where the goods are located. Where the service provider is outside Ireland and the work is carried out in Ireland VAT is accounted for by the Irish business recipient on a reverse charge basis.
2. Passenger Transport Services (B2B and B2C) Place of supply is where the passenger transport takes place.
3. Intra-Community Transport of Goods B2C Place of supply is the place of departure.
4. Intra-Community Transport of Goods B2B Place of supply is the place where the customer is established.
5. B2B supplies of Cultural, artistic, sporting, scientific, educational and entertainment or similar services: In the case of admissions to an event the place of supply is the place where the event actually takes place. In relation to all other ancillary services, general B2B rule applies.
6. B2C supplies of cultural, artistic, sporting, scientific, educations and entertainment or similar services. In the case of B2C supplies of services and ancillary services in relation to an event the general rule is disapplied and the place of supply of services is where the event takes place.
7.B2B Ancillary transport services, valuations/work on movable property supplied General rule with reverse charge applies.
8. B2C Ancillary transport services, valuations/work on movable property supplied Place of supply is where the services are physically carried out.
9. Restaurant and Catering Services, generally. Place of supply is where the supplier is established.
10. Restaurant and Catering Services for consumption on board ships, planes and trains while within the community. The place of supply is the point of departure of the ship, plane or train.
11. Hiring out of means of Transport: For short-term hiring-out of means of transport, the place of supply is where the transport is put at the disposal of the customer. For long term hiring–out of means of transport, the place of supply follows the general rules.