In case you run a trading business in the UK or other EU country and also have imported services or goods which has already paid vat in the nation of origin then you can claim vat back after vat registration. However, it is important to study all different rules required for vat refund before you decide to 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 own country by simply showing the original vat invoice displaying the vat rate and vat amount, businesses have to furnish many more details before they are able to be eligible for a reimbursement. If you too have imported services or goods vat registration number originating from a member EU country to the UK and have already paid vat in the country then to prevent double taxation and lower your costs, you ought to surely apply for a vat refund. Even though you may not be able to directly deduct the vat amount in your next vat return, you may surely claim vat back from the country of origin provided you follow their vat rules.
If you are not vat registered then you can certainly use the vat online services provided by HM customs and excise customs vat or go to the hmrc vat website to register your organization first. If you are not internet savvy or have trouble in comprehending vat rules it would be better to appoint a vat agent that delivers all vat services including applying for refunds and handling vat returns. You can now 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 goods and services from different countries.
You need to make sure that you retain all original documents of vat paid within the original country before you can claim vat back. You should fill up the vat form for vat reclaim before 9 months within the next calendar year once you have paid the initial vat amount so that you can qualify for a vat refund. However, this time period varies in different countries. You might also need to climb over language barriers between various EU countries while submitting your tax documents. For example, Poland stipulates that you just attach the faktura vat or tax invoice which is coded in Polish language before it’s sent for any reclaim. In such a case, a local vat agent would be in a very better position to understand the specific laws for each country.
After you have submitted all relevant documents to assert vat back, then you ought to receive the vat refund in the designated time period specified by the exact country. In great britan the time period is generally around 4 months if your own claim is processed and approved without any need for additional proof. You may receive your vat refund in a EU country that you desire or perhaps the UK provided you’ve got a valid banking account in the desired country. However, remember that to submit proper documentation since any rejected vat claim will most likely be looked with suspicion and handled strictly by the concerned vat authorities of the country.
If your business requires goods or services that have already paid vat in the nation of origin before reaching the shores of one’s country where you have to pay vat again, then you can reclaim the extra vat paid on them. A vat agent that’s well versed in international and national vat rules should be able to help you towards claiming vat back with ease. If you have just started trading internationally then you can claim vat back after vat registration and lower your costs to some large degree.