If you’re a trader located in the UK or any other EU country which has adopted vat to be a medium of taxation then you should use online VAT registration for faster and secure vat registering. Most countries have computerised their vat operations so you too should save on time and effort by utilizing all online vat services offered by your own vat department.
In the UK vat rules specify that you can apply for vat registration if your taxable sales rise above the vat threshold limit of £70,000 in the past 1 year or if you feel that they will do so over the following 1 month, even though you can still register before the sales touch this figure. However, you are able to at present only complete basic vat online registration by filling up and submitting vat form 1 online. This form is normally utilised by small establishments. In case your organization is a partnership firm, a group of companies, or plans to conduct business internationally then you can download and print all vat registration forms but will be required to fill up the form manually before sending it 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 that has adopted vat then you will need to first study all applicable vat rules before you register your organization online. Should you have trouble in deciphering uk vat or eu vat rules then its better if you appoint a vat agent or perhaps a customs and excise customs vat agent in the event you intend to conduct your business on an international level. This will allow 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 get 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 a lot of other details connected to your small business including a few purchase and sales invoices.
Once 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 of your sales. This vat invoice will need to display your vat no, vat rate, vat amount and the same must also be shown on your vat returns that will have to be submitted to the hmrc vat department at regular intervals.
Currently, in the UK there are 3 different types of vat rates applicable to all goods and services. The standard vat rates are 17.5% that’s set to raise to 20% from January 4, 2011 onwards. There’s a reduced vat rate of 5% plus a zero vat rate on specific services and goods which will stay the same. There’s also certain goods and services that are vat exempt. However, the vat rates will vary in each eu country even though basic concept of charging vat tax remains the same in most vat enabled countries.
If you want to register your business for vat then going on the internet will help save your time plus enable you to securely complete the necessary process required for vat registration. You should 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 get registered as being a vat dealer without having problem.