If you plan to market goods or services in the UK then you might soon have to turn into a VAT registered trader and to achieve it you will need to make a vat application for vat registration and vat refunds in the foreseeable future. It is however, essential that you get your application right the first time around for seamless integration into the vat tax system.
Great Britain together with most of the eu countries have shifted to vat or value added tax for taxing services and goods sold in their respective countries or even re-exported out of those countries. In case your trading business deals at a very modest scale to individual end-users then you may not have to register for vat since this vat validation will let you keep the costs at a lower level. However, once your sales touch the vat threshold limit of 70,000 sterling pounds in the previous 12 months or if you think that this figure could be achieved within the coming 30 days then you will need to apply for vat registration.
In Britain all vat rules are issued and managed by Her Majesty?s Revenue and Customs department or hmrc. If your sales have reached the vat threshold limit or if you feel that you have to issue vat invoices to all your clients then you definitely should submit an application for vat certification to the hmrc. It is possible to do so by looking into making a web-based application, especially if you are a person running your individual business. You can simply fill a vat form known as VAT 1 online and submit it online to hmrc vat department. Should your business is a partnership, a company, a trust, a charity, or other type of organization then you can download the applicable vat application but will need to print it in your end, fill it up and dispatch it physically to hmrc.
In the event the hmrc vat department does not have any additional queries upon receiving the application then you can certainly expect your vat certificate to arrive within 30 days. Thus, if you wish to receive your vat registration with no hiccups then you should hire a vat agent that has knowledge of uk vat as well as eu vat systems to ensure that there is complete adherence to all or any vat rules. Your vat agent may also guide you during filing of vat returns.
If you import goods or services from other eu countries which have already charged you vat on the very same then you’ll again need to make a vat refund application to recover that double-taxed amount. Again, your vat agent would be able to make necessary vat applications for vat refunds in the stipulated time. This will help redirect vital funds directly into your enterprise. Since all applications associated with vat tend to be of time-bound nature, it is crucial that you file them well within the stipulated time period.
If you want to charge vat to the clients then you’ll need to make an application for vat registration to the hmrc as soon as your business becomes entitled to this kind of move. You should enrol the help of a professional vat agent so your vat application is approved instantly and your vat registration and future vat refunds are awarded without any problems.