If you’re a vat registered trader in the United Kingdom or even in some other member EU country which has embraced vat then you need to conduct a vat check of the supplier before finalizing your transaction, especially if you intend to import services or goods into your country. It is actually quite simple to conduct a vat number check over the internet before you spend your hard-earned money.
VAT or value added tax is really a system of taxing products or services that is followed in a number of countries across the globe including most eu countries. If you’re a trader in the United Kingdom that is importing services or goods from other eu countries where vat has already been paid in the country of origin you’ll be able to apply for a vat refund. This will permit you to reclaim vat paid earlier so as to avoid double-taxation. However, it is necessary that you simply buy your goods originating from a vat registered trader or exporter overseas so the chain of vat continues when the services or goods are imported into the UK.
However, there may be a chance that an unregistered vat trader might try to dupe you of your savings by charging you vat even while providing you with a fake or expired vat number on the vat invoice. In such a case, you might not vat check have the ability to reclaim any vat on that transaction, which in turn will raise your costs and deny you your rightful refund. It is actually thus vitally important to conduct a vat check that usually takes only a few minutes whenever you log on to the official European Commission or EUROPA website that allows you to conduct a vat registration check and validate if your supplier has indeed given you a genuine vat number.
All that you should do is log on to the EUROPA website ec.europa.eu directly or visit the hmrc vat department website and follow the link provided at the site. All you need to do is to choose the eu country of the supplier, type in the vat number of your proposed supplier, choose your own country code, and type in your own vat number. You may now have to click on verify, upon which the verification software will inform you if the vat number is valid.
If possible, you need to print the validation screen as evidence of having conducted the check at a particular date and time. In the event the registration number isn’t valid then you can inform your supplier since there may be many reasons for this kind of response, including an authentic mistake in supplying you with the vat number to willful wrongdoing on your supplier?s part. You should remember that ultimately it is your business which will suffer if you fail to conduct a vat number check.
Conducting a vat registration number check is extremely important if you are planning to purchase services or goods from vat registered traders in another country that also adheres to the system of vat. The exact checking process hardly takes more than a few seconds and performing a vat check will definitely save your valuable business a lot of money and pain should the supplied vat number ends up being incorrect.