As a vat registered trader in Britain like many other eu countries which have adopted VAT or value added tax, you should make sure to file for for vat claims to reclaim vat back. If you have purchased services or goods where vat has already been charged, even in another eu country, you can certainly claim that vat amount back to provide a boost to your business cash-flow.
As a business you are able to claim vat back only on services and goods related to your business and not for your personal use. This vat is referred to as input tax by the HM Revenue and Customs or hmrc department that handles customs, excise and vat departments in the UK. It is possible to reclaim vat charged www.vatverification.com irrespective of the rates, be it the regular, reduced or zero rate. However, you can expect to be unable to claim vat on vat exempt goods as well as certain exceptions.
Since the procedure for filing for vat refunds is quite complex and time-consuming, especially for services or goods imported from other eu countries, you should use the assistance of a professional vat agent that’s totally familiar with the most up-to-date uk vat and eu vat rules. Several agents will charge a fee based on a percentage of the vat reclaim amount after it has been approved and won’t charge any fees in the event the claim doesn’t materialize. This facility ought to be accepted by you to avoid paying any money out of your pocket to the agent since vat claims usually take between four to 8 months to get to an effective conclusion.
You will first need to register yourself online with the hmrc vat website if you wish to use all vat services offered by the department. Even though you wish to file a vat claim for vat paid in a foreign eu country, you still need to apply for vat reclaim with hmrc first and in addition provide all necessary vat documents including vat receipts so that your claim may be processed further. Hmrc will forward the application to the mentioned country and you also may additionally need to send additional documents such as your vat certificate along with the original vat invoice, if desired by that country. If all of your documents are found to be in order in the first attempt itself, you could receive your vat refund within 4 months, albeit in the currency of the foreign eu country, which may be converted into sterling pounds when you transfer it to your UK banking account.
Reclaiming vat provides relief for your business by lowering costs and injecting vital funds into your business. If you regularly take part in industry events in member eu countries and pay vat in those countries, or import goods into the UK where vat has already been paid then you certainly should go for vat refunds since this move will lower the price of your goods while allowing you to legally claim doubly paid tax back from the government.
When you do turn into a vat registered trader in the United Kingdom then you should explore all legal ways to recover any tax that has already been paid on services or goods utilized by your organization. You need not invest your own time or staff while making vat claims since a competent vat agent is capable of doing the same for you and only collect fees when your refund claim is approved.