In case you run a trading business in the united kingdom or any other EU country and have imported services or goods that has already paid vat in the country of origin you’ll be able to claim vat back after vat registration. However, you should study all different rules required for vat refund before you decide to stake your claim for any vat reclaim vat control.
Although tourists and certain other people can claim VAT or value added tax when they go back in order to their country by simply showing the original vat invoice displaying the vat rate and vat amount, businesses need to furnish many more details before they are able to qualify for a refund. In the event you too have imported goods or services from a member EU country into the UK and have already paid vat in the country then to prevent double taxation and lower your costs, you should surely have a vat refund. Even though you might not be in a position to directly deduct the vat amount as part of 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 utilize the vat online services offered by HM customs and excise customs vat or go to the hmrc vat website to register your business first. If you are not internet savvy or have trouble in comprehending vat rules then it could well be better to appoint a vat agent that delivers all vat services including applying for refunds and handling vat returns. You can now authorize your vat agent to submit your vat claims in your stead. You may also appoint different vat agents in several countries and register them separately, especially if you import goods and services 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 within the next calendar year once you have paid the original vat amount in order to qualify for a vat refund. However, this time period varies in various countries. You might also need to climb over language barriers between various EU countries while submitting your tax documents. For example, Poland stipulates that you just attach the faktura vat or tax invoice which is coded in Polish language before it is sent for any reclaim. When this happens, the local vat agent will be in a better position to understand the precise laws of each country.
After you have submitted all relevant documents to assert vat back, then you should get the vat refund in the designated time frame specified by the exact country. In great britan the time period is usually around 4 months when your own claim is processed and approved without the requirement for additional proof. You can receive your vat refund in any EU country that you desire or perhaps britain provided you have a valid bank account within the desired country. However, remember that 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 vat number.
If your business requires services or goods which have already paid vat in the country of origin before reaching the shores of your country in which you need to pay vat again, then you can claim back the extra vat paid on them. A vat agent that’s amply trained in international and national vat rules will be able to guide 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 reduce your costs to some large degree.