If you have already paid vat on your goods or services more than once and would like to receive the original amount back then while reclaiming vat ensure proper procedures are followed. You can use the vat refund scheme for getting back vat which may already have been paid earlier in order to lower your costs as well as get relief from the issue of double taxation over your services or goods.
While you will not be allowed to deduct the vatvalidation.com/vat amount of taxes straight from the next vat return, you still be allowed to state that amount in a separate vat refund scheme. This scheme is available in the UK governed by certain terms and conditions. Most eu countries that follow vat usually have such procedures where vat amounts which have already been paid may be reclaimed. If you’re a vat registered trader in the United Kingdom that does not have vat registration in the nation of origin you’ll be able to claim any vat paid in that country provided you meet some other vat rules.
You can also claim vat paid in another eu country if you haven’t got relief through some other vat scheme. You will have to use a standard vat reclaiming form through the HM revenue and customs or hmrc vat website that looks after the customs, excise and vat department in the United Kingdom. However, since the reclaiming rules might differ in other countries, you’ll need the services of a specialist vat agent well-versed in uk vat and eu vat rules to ensure that you extract vat refunds in the relevant country. Your agent can act in your stead once you let them have a power of attorney or a letter or authority to do so.
You can go in for a vat reclaim no later than 9 months within a year or so after you have paid the vat amount. You will first need to register your business name and your agent?s name too in case you plan on reclaiming vat through your agent. You should use the hm vat refunds service that is a part of the vat online services provided by the hmrc vat website in order to reduce time and energy. Once you submit the necessary online vat form you’ll be issued an online reference number that will indicate that your request has been received by the vat refund department.
While you will not need to send any paper documents, certain eu countries might request a scanned vat invoice to generally be attached with your vat refund request. Once you have sent your reclaiming request hmrc will send you a confirmation regarding the same within 15 days while the concerned eu country will usually offer you a vat refund within 4 months, if all your documents are in proper order. In the event any further details are required from that eu country you’ll be able to expect your vat reclaim to be settled after around 8 months of your original application.
In order to avoid the situation of double taxation, most eu countries that have adopted vat including the UK offer vat refunds that can be claimed by following proper procedures and using proper applications. You also can claim back vat paid in almost any other eu country that follows vat by reclaiming vat back from that eu country when you use the vat refund scheme.