If you are a vat registered trader in the UK or even in any other member EU country which has embraced vat you will want 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 really fairly simple to conduct a vat number check over the internet before you part with your hard-earned money.
VAT or value added tax is really a system of taxing products or services that’s followed in a number of countries around the world including most eu countries. If you’re a trader in the UK that may be vatnumbers importing goods or services from other eu countries where vat was already paid in the country of origin you’ll be able to apply for a vat refund. This will allow you to reclaim vat paid earlier so as to avoid double-taxation. However, it is important that you purchase your goods originating from a vat registered trader or exporter overseas so the chain of vat continues when the services or goods are imported to the UK.
However, there may be a possibility that an unregistered vat trader might attempt to dupe you of your savings by charging you vat whilst offering you a fake or expired vat number on the vat invoice. When this happens, you might not be able to reclaim any vat on that transaction, which in turn will raise your costs and deny you your rightful refund. It is thus vitally important to conduct a vat check that usually takes only a few minutes when 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 provided you with a genuine vat number.
All you need to 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 have to do is always to pick the eu country of the supplier, type in the vat number of your proposed supplier, choose your own country code, and enter your own personal vat number. You will now need to click on verify, upon which the verification software will inform you if the vat number is valid.
Whenever possible, you need to print the validation screen as proof of having conducted the check at the particular date and time. If the registration number isn’t valid you’ll be able to tell your supplier since there could be a lot of reasons for this kind of response, ranging from an authentic mistake in providing you with the vat number to willful wrongdoing on the supplier?s part. You sould never forget that ultimately it is your business that will suffer if you fail to conduct a vat number check.
Conducting a vat registration number check is very important if you are planning to buy goods or services from vat registered traders in a foreign country which adheres to the system of vat. The actual checking process hardly takes more than a few seconds and performing a vat check will certainly save your valuable business lots of money and pain in case the supplied vat number ends up being incorrect.