If you plan to sell services or goods in the UK then you might soon have to turn into a VAT registered trader and to achieve it you will need to complete a vat application for vat registration and vat refunds in the foreseeable future. It is however, essential that you get your application right to begin with for seamless integration into the vat tax system.
Great Britain along with the majority of the eu countries have shifted to vat or value added tax for taxing services and goods available in their respective countries and even re-exported out of those countries. In case your trading business deals in a quite small scale to individual end-users you then may not need to sign up for vat since this will allow you to keep the costs in a lower level. However, once your sales touch the vat threshold limit of 70,000 sterling pounds in the previous Yr or if you feel that this figure might be achieved in the coming 1 month then you’ll have to make an application 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 think 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 up a vat form referred to as VAT 1 online and submit it online to hmrc vat department. Should your organization be a partnership, a firm, a trust, a charity, or other type of organization you may download the applicable vat application but will have to print it out at your end, fill it up and dispatch it physically to hmrc.
In the event the hmrc vat department doesn’t have any additional queries upon receiving the application then you can expect your vat certificate to reach within one month. Thus, if you want to receive your vat registration without any hiccups you then should hire a vat agent who has expertise in uk vat and even eu vat systems to ensure that there’s complete adherence to all vat rules. Your vat agent may also guide you during filing of vat returns.
If you import services or goods from other eu countries which have already charged you vat on the same then you’ll again want to make a vat refund application to recover that double-taxed amount. Again, your vat agent can make the necessary vat applications for vat refunds within the stipulated time. This helps redirect vital funds directly into your enterprise. Since all applications related to vat usually are of time-bound nature, it is crucial that you file them well within the stipulated time frame.
If you would like charge vat to the clients then you will need to apply for vat registration to the hmrc as soon as your business becomes entitled to this kind of move. You must enrol the help of an expert vat agent so your vat application is approved instantly and your vat registration and future vat refunds are awarded without any problems.