In case you operate a trading business in the united kingdom or other EU country and have imported goods or services that has already paid vat in the nation of origin you’ll be able to claim vat back after vat registration. However, you should study many different rules required for vat refund before you decide to stake your claim for a vat reclaim.
Although tourists and certain other individuals can claim VAT or vat when they return back in order to their country simply by showing the initial vat invoice displaying the vat rate and vat amount, businesses need to furnish a lot more details before they are able to be eligible for a reimbursement. In the event you too have imported services or goods 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 reduce your costs, you should surely apply for a vat refund. Even though you may not be in a position to directly deduct the vat amount in your next vat return, you can surely claim vat back from the country of origin provided you follow their vat rules.
If you’re not vat registered then you can certainly use the vat online services provided 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 it could well 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 can 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 ensure that you retain all original documents of vat paid within the original country before you can claim vat back. You need to fill up the vat form for vat reclaim before 9 months in the next twelve months after you have paid the initial vat amount in order to qualify for a vat refund. However, this time around period varies in different 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’s sent for a reclaim. When this happens, a local vat agent will be in a very better position to comprehend the precise laws for each country.
Once you have submitted all relevant documents to assert vat back, then you should get the vat refund in the designated time period specified by the exact country. In the UK the timeframe is usually around 4 months when your own claim is processed and approved without the need for additional proof. You may receive your vat refund in any EU country that you want or even in britain provided you have a valid banking account within the desired country. However, remember that to submit proper documentation since any rejected vat claim will usually be looked with suspicion and handled strictly by the concerned vat authorities of that country.
If your business requires services or goods which have already paid vat in the nation of origin before reaching the shores of your country where you need to pay vat again, then you can claim back the extra vat paid on them. A vat agent that is amply trained in international and national vat rules should be able to guide you towards claiming vat back with ease. For those who have just started trading internationally you’ll be able to claim vat back after vat registration and reduce your costs to some great extent.