If you’re a vat registered trader in the UK or perhaps some other member EU country that has embraced vat you will want to conduct a vat check of your supplier before finalizing your transaction, especially if you intend to import goods or services into your country. It is actually fairly simple to conduct a vat number check on the internet before you part with your hard-earned money.
VAT or value added tax is a system of taxing products or services that is followed in several countries around the world including most eu countries. If you’re a trader in the United Kingdom that may be vatnumbers importing goods or services from other eu countries where vat was already paid in the country of origin then you can apply for a vat refund. This will permit you to reclaim vat paid earlier so as to avoid double-taxation. However, it is necessary that you purchase your goods from a vat registered trader or exporter overseas so that the chain of vat continues as soon as the goods or services are imported to the UK.
However, there may be a possibility that an unregistered vat trader might try to dupe you of your savings by charging you vat whilst providing you with a fake or expired vat number on the vat invoice. In such a case, you might not have the ability to reclaim any vat on that transaction, which inturn will raise your costs and deny you your rightful refund. It is thus vitally important to conduct a vat check that typically takes a short time whenever you get on the official European Commission or EUROPA website that permits you to conduct a vat registration check and validate if the supplier has indeed given you a genuine vat number.
All that you should do is log on to the EUROPA website ec.europa.eu directly or visit the hmrc vat department website and check the page provided at the website. All you have to do is always to choose the eu country of the supplier, enter the vat number of your proposed supplier, choose your own country code, and enter your own vat number. You may now have to click on verify, upon which the verification software will inform you if your vat number is valid.
If possible, you need to print the validation screen as evidence of having conducted the check at the particular date and time. If the registration number is not valid then you can tell your supplier since there may be a lot of reasons for such a response, including a genuine mistake in supplying you with the vat number to willful wrongdoing on your supplier?s part. You sould never forget that ultimately it’s your business that will suffer if you don’t conduct a vat number check.
Conducting a vat registration number check is very important if you are planning to buy goods or services from vat registered traders in another country that also adheres to the system of vat. The exact checking process hardly takes more than a few seconds and performing a vat check will definitely save your business lots of money and pain should the supplied vat number turns out to be incorrect.