In case you run a trading business in the united kingdom or other EU country and also have imported goods or services that has already paid vat in the country of origin then you can claim vat back after vat registration. However, it is important to study many different rules required for vat refund before you stake your claim for any vat reclaim.
Although tourists and certain other people can claim VAT or value added tax once they return back in order to their own country simply by showing the original vat invoice displaying the vat rate and vat amount, businesses need to furnish a lot more details before they can qualify for reimbursement. In the event you too have imported services or goods vatregistrationnumber.com originating from a member EU country into the UK and have already paid vat in that country then to prevent double taxation and reduce your costs, you ought to surely apply for a vat refund. Even though you may not be able to directly deduct the vat amount in your next vat return, you may surely claim vat back from the country of origin provided you follow their vat rules.
If you are not vat registered then you can use the vat online services offered by HM customs and excise customs vat or go to the hmrc vat website to register your organization first. If you are not internet savvy or have trouble in comprehending vat rules it would be better to appoint a vat agent that provides all vat services including obtaining refunds and handling vat returns. Now you can authorize your vat agent to submit your vat claims in your stead. You can also appoint different vat agents in several countries and register them separately, especially if you import services and goods from different countries.
You need to make sure that you retain all original documents of vat paid in the original country before you can claim vat back. You should fill up the vat form for vat reclaim before 9 months in 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 different 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 will be in a better position to comprehend the precise 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 usually around 4 months if your own claim is processed and approved without the requirement 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 bank account in the desired country. However, you should remember to submit proper documentation since any rejected vat claim will usually be looked with suspicion and handled strictly by the concerned vat authorities of the country.
If your business requires services or goods which have already paid vat in the country of origin before reaching the shores of one’s country where you need to pay vat again, then you can claim back the excess vat paid on them. A vat agent that’s well versed in international and national vat rules should be able to guide you towards claiming vat back with ease. For those who have just started trading internationally then you can claim vat back after vat registration and reduce your costs to a great extent.