If you operate a trading business in the UK or other EU country and have imported goods or services which has already paid vat in the country of origin then you can claim vat back after vat registration. However, you should study many different rules required for vat refund before you stake your claim for any vat reclaim.
Although tourists and certain other individuals can claim VAT or vat once they go back in order to their country by simply showing the initial vat invoice displaying the vat rate and vat amount, businesses need to furnish many more details before they are able to qualify for reimbursement. If you too have imported goods or services originating from a http://vatcontrol.com member EU country into the UK and have already paid vat in that country then to prevent double taxation and lower your costs, you should surely have a vat refund. Even though you may not be in a position to directly deduct the vat amount in your next vat return, you may surely claim vat back from your country of origin provided you follow their vat rules.
If you’re not vat registered then you can certainly utilize the vat online services provided by HM customs and excise customs vat or visit the hmrc vat web site to register your business first. If you’re not internet savvy or have trouble in comprehending vat rules it would be better to appoint a vat agent that provides all vat services including applying for refunds and handling vat returns. Now you can authorize your vat agent to submit your vat claims on your behalf. You can also appoint different vat agents in several countries and register them separately, especially if you import goods and services from different countries.
You need to ensure that you retain all original documents of vat paid in the original country before you claim vat back. You need to fill the vat form for vat reclaim before 9 months in the next calendar year once you have paid the original vat amount in order to qualify for a vat refund. However, this time period varies in different countries. You need to to climb over language barriers between various EU countries while submitting your tax documents. For instance, Poland stipulates that you attach the faktura vat or tax invoice which is written in Polish language before it is sent for any reclaim. In such a case, a local vat agent will be in a very better position to understand the precise laws of each country.
Once you have submitted all relevant documents to claim vat back, then you ought to receive the vat refund in the designated time frame specified by the specific country. In great britan the time period is generally around 4 months if your own claim is processed and approved without the need for additional proof. You may receive your vat refund in any EU country that you want or even in britain provided you have a valid banking account in the desired country. However, remember that to submit proper documentation since any rejected vat claim will usually be looked with suspicion and handled strictly by the concerned vat authorities of the country.
If your business requires services or goods that have already paid vat in the country of origin before reaching the shores of one’s country where you have to pay vat again, then you can claim back the excess vat paid on them. A vat agent that is amply trained in international and national vat rules will be able to guide you towards claiming vat back with ease. For those who have just started trading internationally you’ll be able to claim vat back after vat registration and reduce your costs to some great extent.