In case you run a trading business in the UK or any other EU country and have imported services or goods that has already paid vat in the country of origin you’ll be able to claim vat back after vat registration. However, you should study all different rules necessary for vat refund before you decide to stake your claim for a vat reclaim.
Although tourists and certain other individuals can claim VAT or value added tax when they go back to their own country by simply showing the initial vat invoice displaying the vat rate and vat amount, businesses have to furnish a lot more details before they are able to be eligible for a a refund. In the event you too have imported goods or services originating from a vatcontrol.com member EU country into the UK and also have already paid vat in the country then in order to avoid double taxation and lower your costs, you ought to surely have a vat refund. Although you may not be able to directly deduct the vat amount as part of your next vat return, you can 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 use the vat online services offered by HM customs and excise customs vat or visit the hmrc vat web site to register your business first. If you are not internet savvy or have trouble in comprehending vat rules then 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 in your stead. You may also appoint different vat agents in several countries and register them separately, particularly if you import services and goods from different countries.
You need to make sure that you retain all original documents of vat paid in the original country before you can claim vat back. You need to fill the vat form for vat reclaim before 9 months in the next calendar year after you have paid the initial vat amount so that you can qualify for a vat refund. However, this time period varies in various 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 that is written in Polish language before it is sent for a reclaim. In such a case, the local vat agent will be in a very stronger position to understand the specific laws of each country.
Once you have submitted all relevant documents to claim vat back, then you ought to get the vat refund within the designated time frame specified by the exact country. In great britan the time period is usually around 4 months if your own claim is processed and approved without any requirement for additional proof. You may receive your vat refund in a EU country that you desire or perhaps the UK provided you have a valid banking account within the desired country. However, you should remember 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 which have already paid vat in the nation of origin before reaching the shores of one’s country where you have to pay vat again, you’ll be able to reclaim the extra vat paid on them. A vat agent that’s well versed in international and national vat rules will be able to help you towards claiming vat back without difficulty. If you have just started trading internationally you’ll be able to claim vat back after vat registration and reduce your costs to some large degree.