Can I register for VAT using a Virtual Office address?

To successfully register for VAT you’ll need to use an address where you actually carry out or perform your business activities. In other words you need to be performing an activity at the physical address. This requirement presents a challenge when it comes to using a bare virtual office for VAT registration purposes. But there is a solution.

So how do we solve the problem?

For the many business owners who have embraced remote working most of the time performing your activities will be while working from home. This avoids the expense of renting a physical office space. In these cases, the Revenue Commissioners would like to see your home address as your VAT registered address. But this is not ideal. You loose your privacy because your home address must be published on all your VAT invoices. Your professional image and your credibility with future customers and suppliers is also tainted by using your home address.

There is a way to overcome this VAT registration issue.

The help solve this problem our virtual office plans have been designed not only to allow use of the address for your post, but also to facilitate the performance of your business activities at the physical address.

Dublin Virtual Office

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This is achieved by frictionless access to office spaces, meeting rooms and shared desk areas on a pay as you work basis. So for example, when you purchase a virtual office from us you’ll have the option to access the physical space to carry out your work. So for example, you can also use the physical address to hold board meetings, team gatherings or meetings with suppliers and customers.

This ability to perform activities at the address connects your office address and the physical office building with your business. When you apply for VAT registration this will assist you in demonstrating that you carry out activities at the address.

It’s important to remember that the granting of a tax registration by the Revenue Commissioners is discretionary. Furthermore, eligibility criteria for registration is extensive and also depends on the type of tax registration you are seeking. To give your VAT registration application the best chance of success you will need to demonstrate that you use or intend to use the physical space to an extent that would constitute trading. In other words, that you will in fact “perform the activities of the company” at the address and to a sufficient level. You could also go further by adding on a coworking membership at the address which further enhances a physical connection with the address. Coworking memberships are more expensive than a virtual office but they still represent big cost reductions when compared against the cost of a private office space.

Proof of service

If you sign up for a Virtual Office with us, we’ll provide you with a written proof of service which describes the services to include your right to access the physical office spaces. This can help if you are asked for a proof that you have an business address in Ireland.

Check if you even need to register for VAT

Remember that you may not even need to register for VAT. If you don’t then you can forget about the requirement to use the physical space and simply use the address for your business mail, website and marketing materials. Whether or not you need to register will depend on your annual turnover. If you’re unsure about the VAT thresholds then you can read more in our post entitled Irelands Tax Structure.

We hope this post has helped you to understand how you can apply to register for VAT by using an enhanced virtual office solution / coworking membership.

If you’re interested in our Dublin Virtual Office Plans then you can purchase one online from us.

You might also be interested in a related post called Are Virtual Offices Legal.

Note that we are not tax advisors. Advise from qualified professionals should be sought in connection with matters of taxation and company law.