If you’re a trader located in the UK or other EU country that has adopted vat to be a medium of taxation you then should use online VAT registration for faster and secure vat registering. Most countries have computerised their vat operations and you too should save on effort and time by using all online vat services offered by your own vat department.
In the UK vat rules specify that you could apply for vat registration if your taxable sales rise above the vat threshold limit of £70,000 during the past 1 year or if you feel they will do this over the following 30 days, even though you could register even before your sales touch this figure. However, you can at present only complete basic vat online registration by filling up and submitting vat form 1 online. This form is normally utilised by small businesses. In case your business is a partnership firm, a group of companies, or intends to conduct business internationally then you can download and print all vat registration forms but will be required to fill the form manually before sending it back to the HM Revenue and Customs or hmrc vat department.
If you are planning to go in for online vat registration in another eu country which has adopted vat then you’ll need to first study all applicable vat rules before you decide to register your business online. In case you have trouble in deciphering uk vat or eu vat rules then its better if you appoint a vat agent or even a customs and excise customs vat agent in case you plan to conduct your small business on an international level. This will enable you to remain safe while following all vat rules in several countries with falling foul of any department.
When you send your vat online registration form to your hmrc department then you’ll receive a vat questionnaire within 15 days that will need additional details to be submitted such as your organization address, telephone and fax numbers, bank account numbers, and several other details connected to your business including a few purchase and sales invoices.
As soon as your application is approved then you will receive your vat number and you’ll now have to change your invoicing approach to issue vat invoices for all your sales. This vat invoice will need to display your vat no, vat rate, vat amount and also the same will also need to be shown in your vat returns that will need to be submitted to the hmrc vat department at regular intervals.
Currently, in the UK you will discover 3 different types of vat rates applicable to all services and goods. The regular vat rate is 17.5% that’s set to increase to 20% from January 4, 2011 onwards. There’s a reduced vat rate of 5% and a zero vat rate on specific services and goods that will remain the same. There’s also certain products or services which are vat exempt. However, the vat rates are different in each eu country even though basic concept of charging vat tax continues to be same in all vat enabled countries.
If you wish to register your business for vat then going online will help save your time plus allow you to securely complete the necessary process required for vat registration. You ought to simply log on to the hmrc vat department in case your business is based in the UK or ask your vat agent to do so for you before using online vat registration to have registered as a vat dealer without having problem.