For those who have started a new business that plans to start trading in goods or services that attract vat or vat then you should complete company vat registration process before you begin trading. This will make sure you get a vat number, issue vat invoices, file your vat returns, and claim vat refunds in order to reduce the financial burden on your own business due to duplicate taxation.
If you plan to import goods or services from EU countries that have enveloped vat, you’ll certainly require to obtain registered with the relevant vat authorities in your own country. You might use vat online services that will allow you sign up for a vat refund whenever you import goods or services which have already paid vat in the nation of origin. When you are within the vat threshold limit set by the country in becoming a vat registered dealer, you can complete the required vat form to get your vat no and start trading as a registered vat trader.
For example, if you are already trading in britain and also have crossed over the minimum vat limit in taxable sales in the previous Twelve months, you’ll be able to apply for company vat registration. You will need to speak to your local hmrc vat department or customs and excise customs vat department to begin the process for vat registration. You can visit their webpage and fill out the web based form to set the ball rolling for quick registration. You will also need to do a detailed study about the actual vat rates about the goods that you propose to trade in, if you are planning to begin a fresh business.
While vat rules are quite easy to comprehend, it might make better sense to appoint a vat agent or vat consultant, particularly if you plan to import goods from other EU States where vat would have already been paid before shipping it to the country. This move will help you reclaim vat in those countries so as to get to actual costing figures for your products. You will also need to file regular vat returns stating your purchase, sales, vat collected and vat sum to be paid for that specific period. A competent vat agent will be in a stronger position to deal with your vat requirements to help you focus on other avenues to boost revenues of your business.
There are different vat rates on different goods and services while certain items and services are also vat exempt. If you haven’t registered for vat then you can certainly start trading but will not be allowed to collect vat or claim any vat refunds until your enterprise is vat registered. Anyway, most other firms that you deal with will require your vat registration before they commence business together with you in order that the vat chain isn’t interrupted.
If you have started a business or are intending to do so in the future then you need to obtain registered for uk vat in addition to eu vat, specifically if you plan to contend with other EU countries. This will enable you to claim vat that has previously been paid and also control your product costs by remaining while in the vat cycle. You ought to certainly complete company vat registration process before you start trading on a large scale so as to corner all benefits offered by vat.