If you plan to sell goods or services in Britain then you definitely might soon have to turn into a VAT registered trader in order to achieve it you will have to make a vat application for vat registration and vat refunds in the future. It is however, essential that you get the application right to begin with for seamless integration to the vat tax system.
The UK along with most of the eu countries have shifted over to vat or value added tax for taxing services and goods sold in their respective countries and even re-exported out of those countries. In case your trading business deals at a very modest scale to individual end-users you then may not need to sign up for vat since this will let you keep your costs at a lower level. However, when your sales touch the vat threshold limit of 70,000 sterling pounds within the previous 12 months or if you feel that this figure could be achieved in the coming 30 days 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 feel that you have to issue vat invoices to all your customers then you should make an application for vat certification to the hmrc http://vatcontrol.com. It is possible to achieve this by making a web-based application, particularly if you are a person running your individual business. You can easily fill up a vat form referred to as VAT 1 online and submit it online to hmrc vat department. Should your business is a partnership, a firm, a trust, a charity, or other type of organization then you can download the applicable vat application form but will need to print it in your end, fill it up and dispatch it physically to hmrc.
In the event the hmrc vat department does not have any additional queries upon receiving your application then you can certainly expect your vat certificate to reach within 30 days. Thus, if you want to receive your vat registration with no hiccups you then should hire a vat agent that has knowledge of uk vat as well as eu vat systems to ensure that there is complete adherence to all or any vat rules. Your vat agent may also guide you during filing of vat returns.
If you import goods or services from other eu countries that have already charged you vat on the same then you will again need to make a vat refund application to recover that double-taxed amount. Again, your vat agent can make necessary vat applications for vat refunds in the stipulated time. This will help redirect vital funds directly into your enterprise. Since all applications related to vat usually are of time-bound nature, it is important you file them within the stipulated time period.
If you want to charge vat to the clients then you’ll need to apply for vat registration to the hmrc once your business becomes eligible for such a move full article. You should enrol the aid of a professional vat agent so that your vat application qualifies instantly plus your vat registration and future vat refunds are awarded without any problems.