For those who have started a fresh business that intends to start trading in services or goods that attract vat or value added tax then you should complete company vat registration process before you begin trading. This will enable you to get a vat number, issue vat invoices, file your vat returns, and claim vat refunds so as to lower the financial burden on your business on account of duplicate taxation.
If you plan to import services or goods from EU countries that have enveloped vat, you will certainly require to obtain registered with all the relevant vat authorities in your own country. You might use vat online services that will enable you sign up for a vat refund when you import services or goods that have already paid vat http://vatcontrol.com/vat in the country of origin. Once you are within the vat threshold limit set by the country in becoming a vat registered dealer, you are able to fill out the necessary vat form to get your vat no and begin trading like a registered vat trader.
For example, if you’re already trading in the UK and also have crossed over the minimum vat limit in taxable sales in the previous Twelve months, then you can apply for company vat registration. You will need to contact your local hmrc vat department or the customs and excise customs vat department to begin the process for vat registration. You can visit their webpage and fill out the online form to set the ball rolling for quick registration. You’ll also have to do an in depth study about the actual vat rates about the goods that you propose to trade in, if you plan to start a new business.
While vat rules are very simple to comprehend, it might make better sense to appoint a vat agent or vat consultant, particularly if you plan to import goods from other EU States where vat would have also been paid before shipping it to your country. This move will help you to reclaim vat in those countries so as to arrive at actual costing figures for the products. You will also need to file regular vat returns stating your purchase, sales, vat collected and vat sum to be paid for that specific period. A competent vat agent will be in a very better position to handle your vat requirements to help you focus on other avenues to boost revenues of your business.
There are different vat rates on different services and goods while certain items and services are also vat exempt. If you have not registered for vat then you can certainly start trading but won’t be allowed to collect vat or claim any vat refunds until your enterprise is vat registered. Anyway, almost every other firms that you contend with will insist on your vat registration before they commence business together with you so that the vat chain isn’t interrupted.
If you have started an enterprise or are intending to do so in the future you will need to get registered for uk vat in addition to eu vat, specifically if you plan to deal with other EU countries. This will allow you to claim vat which has already been paid and also control your product costs by remaining while in the vat cycle. You should certainly complete company vat registration process before you begin trading on a large scale so as to corner all benefits offered by vat.