In case you operate a trading business in the UK or any other EU country and also have imported goods or services that has already paid vat in the nation of origin you’ll be able to claim vat back after vat registration. However, you should study many different rules required for vat refund before you decide to stake your claim for any vat reclaim.
Although tourists and certain other individuals can claim VAT or vat when they return back to their own country by simply showing the initial vat invoice displaying the vat rate and vat amount, businesses have to furnish many more details before they can be eligible for a reimbursement. In the event you too have imported goods or services from a www.vatcontrol.com member EU country into the UK and have already paid vat in that country then in order to avoid double taxation and reduce your costs, you should surely apply for a vat refund. Even though you may not be able to directly deduct the vat amount as part of your next vat return, you can surely claim vat back from the country of origin provided you follow their vat rules.
If you’re not vat registered then you can utilize the vat online services offered by HM customs and excise customs vat or visit the hmrc vat website to register your business first. If you’re not internet savvy or have trouble in comprehending vat rules it could well be better to appoint a vat agent that delivers all vat services including obtaining refunds and handling vat returns. You can now authorize your vat agent to submit your vat claims on your behalf. You can also appoint different vat agents in several countries and register them separately, particularly if you import goods and services from different countries.
You need to ensure that you retain all original documents of vat paid in the original country before you can claim vat back. You need to fill the vat form for vat reclaim before 9 months within the next twelve months once you have paid the initial vat amount so that you can qualify for a vat refund. However, this time around period varies in various countries. You might also need to climb over language barriers between various EU countries while submitting your tax documents. For instance, Poland stipulates that you attach the faktura vat or tax invoice which is coded in Polish language before it’s sent for any reclaim. When this happens, the local vat agent would be in a stronger position to understand the specific laws of each country.
After you have submitted all relevant documents to claim vat back, then you should receive the vat refund within the designated time period specified by the exact country. In the UK the timeframe is generally around 4 months when your claim is processed and approved without any need for additional proof. You may receive your vat refund in a EU country that you desire or perhaps the UK provided you have a valid banking account within the desired country. However, remember that to submit proper documentation since any rejected vat claim will most likely be looked with suspicion and handled strictly by the concerned vat authorities of the country.
In case your business requires services or goods that have already paid vat in the country of origin before reaching the shores of your country where you need to pay vat again, then you can reclaim the excess vat paid on them. A vat agent that’s amply trained in international and national vat rules will be able to help you towards claiming vat back without difficulty. For those who have just started trading internationally then you can claim vat back after vat registration and lower your costs to a large degree.