Starting a business that is going to import goods or services to the UK can be tough during these competitive times but knowing the number of eu countries that follow vat can help save money. You will easily be able to track tax systems which are similar to your while also claiming vat refunds for previously paid vat in other countries.
There are many countries from the eu which follow the system of value-added tax. Although the language used in the vat invoice might differ along with vat rates, the system followed is virtually exactly the same. This list of countries in the European Union which have adopted the system of vat are Estonia, Denmark, Bulgaria, Ireland, Latvia, Poland, Spain, Italy, Luxembourg, Belgium, Hungary, Slovak Republic, Czech Republic, Portugal, Sweden, Finland, Slovenia, Austria, Netherlands, Greece, Germany, France, Romania, Malta, Lithuania, and Cyprus. Some territories in this particular set of eu countries have however opted to remain out from the vat gambit. You can visit the hmrc vat or hm revenue and customs website to find out about such territories vat validation.
One major advantage that you have when importing goods from such eu countries is that any vat that you might have paid in a particular country can be refunded to you by that country once you apply for a vat reclaim. This process can be handled by a professional vat agent who has offices in the United Kingdom as well as in other countries from which your imports come about. In addition, should you have attended trade events in a eu country and also have paid vat for the very same then such vat amounts may also be recovered back. This vat refund can surely help shore increase business bottom line while suitably lowering your product costs.
Should you hire an expert vat, customs duties, and excise duties agent then that agent will also help calculate sales vat rates as well as file your vat returns within the stipulated time frame. Vat rates in the UK range from 17.5% for standard vat rates to 5% for reduced vat rates to zero vat rates for specific services and products. There are also specific products and services that are vat exempt. The hmrc website offers a detailed list of such services and products which are put into 14,000 classifications.
To be able to claim a vat refund you will need to preserve and submit all original vat documents together with your vat certificate too. While procedures and language in several countries might pose a problem, a vat agent well versed in several vat systems should be able to recover your hard earned money back to your account. Additionally, there are different time limits in different eu countries for submitting a vat reclaim and therefore having an in-depth understanding of eu vat and uk vat rules will certainly offer a distinct advantage to you and your business vat number.
If you wish to import services or goods to the UK then opting for eu countries that follow vat would offer several distinct advantages. Knowing the listing of eu countries that follow vat will help save money and also offer ease of operation because the system for paying and collecting vat will be the same in most these countries.