As a vat registered trader in the UK as in a number of other eu countries that 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 are able to certainly claim that vat amount back to give a boost to your business cash-flow.
As a business you can claim vat back only on goods and services related to your organization but 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 Britain. It is possible to reclaim vat charged www.vatverification.com irrespective of the rates, whether it is the regular, reduced or zero rate. However, you can expect to not be able to claim vat on vat exempt goods apart from certain exceptions.
Since the process of filing for vat refunds is fairly complex and time consuming, particularly for services or goods imported from other eu countries, you should utilize the assistance of a professional vat agent that is totally familiar with the most up-to-date uk vat and eu vat rules. Several agents will charge a fee based on the percentage of the vat reclaim amount after it has been approved and will not charge any fees if the claim doesn’t materialize. This facility ought to be accepted by you to avoid paying any money out of your pocket to your agent since vat claims usually take between four to eight months to get to a successful conclusion.
You may first have to register yourself online at the hmrc vat website if you want to make use of all vat services provided by the department. Even if you want to file a vat claim for vat paid in a foreign eu country, you still need to make an application for vat reclaim with hmrc first and also provide all necessary vat documents including vat receipts so that your claim can be processed further. Hmrc will forward the application to the mentioned country and you may additionally need to send additional documents like your vat certificate together with the original vat invoice, if desired by that country. If all your documents are found to be in order at the first attempt itself, you could receive your vat refund within 4 months, albeit in the currency of the foreign eu country, which can be converted into sterling pounds when you transfer it to your UK banking account.
Reclaiming vat can provide relief for your business by lowering costs and injecting vital funds in your business. In the event you regularly participate in trade shows in member eu countries and pay vat in those countries, or import goods to the UK where vat was already paid then you certainly should go for vat refunds as this move will lower the cost 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 UK then you definitely should explore all legal ways to recover any tax which has previously been paid on goods or services used by your business. You don’t need to invest your own time or staff while making vat claims since a competent vat agent can do precisely the same for you and just collect fees whenever your refund claim is approved.