Starting an organization that needs to import goods or services to the UK can be difficult in these competitive times but understanding the range of eu countries that follow vat can help save money. You may definitely be able to track tax systems which are similar to your own while also claiming vat refunds for previously paid vat abroad.
There are many countries from the eu which follow the system of value-added tax. Although the language employed in the vat invoice might differ along with vat rates, the system followed is almost exactly the same. This list of countries within the EU that have adopted the system of vat are Estonia, Denmark, Bulgaria, Ireland, Latvia, Poland, Spain, Italy, Luxembourg, Belgium, Hungary, Slovak Republic, Czech Republic, Portugal, Sweden, Finland, Slovenia, Austria, Netherlands, Greece, Germany, France, Romania, Malta, Lithuania, and Cyprus. Some territories in this vatvalidation list of eu countries have however opted to remain out of the vat gambit. You can go to the hmrc vat or hm revenue and customs website to read about such territories.
One major advantage that you have when importing goods from such eu countries is that any vat that you might have paid in a particular country may be refunded to your account by that country when you apply for a vat reclaim. This process can be handled by an expert vat agent who has offices in the UK as well as in other countries from which your imports take place. Moreover, should you have attended trade shows inside a eu country and also have paid vat for the same then such vat amounts can also be recovered back. This vat refund can surely help shore up your business net profit while suitably cutting your product costs.
If you hire a specialist vat, customs duties, and excise duties agent then that agent can also help calculate sales vat rates as well as file your vat returns within the stipulated time frame. Vat rates in the United Kingdom range between 17.5% for standard vat rates to 5% for reduced vat rates to zero vat rates for specific services and products. There’s also specific services and products which are vat exempt. The hmrc website offers the detailed set of such products and services which are put into 14,000 classifications.
To be able to claim a vat refund you will have to preserve and submit all original vat documents together with your vat certificate too. While procedures and language in several countries might pose problems, a vat agent well versed in several vat systems must be able to recover your hard earned cash back to your account. Additionally, there are different time limits within eu countries for filing for a vat reclaim and thus having an in-depth understanding of eu vat and uk vat rules will definitely offer a distinct advantage to you and your business.
If you want to import goods or services into the UK then opting for eu countries that follow vat would offer several distinct advantages. Having the list of eu countries that follow vat can certainly help save money and also offer ease of operation as the system for paying and collecting vat will be the same in most these countries.