If you run a trading business in the united kingdom or other EU country and also have imported goods or services which has already paid vat in the country of origin then you can claim vat back after vat registration. However, you should study many different rules necessary for vat refund before you stake your claim for any vat reclaim vat validation.
Although tourists and certain other people can claim VAT or vat once they go back in order to their country by simply 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 a refund. In the event you too have imported services or goods originating from a member EU country into the UK and also have already paid vat in that country then to prevent double taxation and reduce 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 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 then it could well be better to appoint a vat agent that delivers all vat services including obtaining 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, especially if you import services and goods 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 the vat form for vat reclaim before 9 months in the next twelve months once you have paid the initial vat amount so that you can be eligible for a 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 which is written in Polish language before it is sent for any reclaim. When this happens, the local vat agent will be in a very better position to understand the precise laws of each country.
After you have submitted all relevant documents to assert vat back, then you ought to get the vat refund within the designated time frame specified by the exact country. In the UK the timeframe is usually around 4 months if your own claim is processed and approved without any need for additional proof. You can receive your vat refund in a EU country that you want or perhaps the UK provided you have a valid banking account in the desired country. However, you should remember 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 vat verification.
In case your business requires goods or services that have already paid vat in the country of origin before reaching the shores of your country in which you need to pay vat again, you’ll be able to claim back the excess vat paid on them. A vat agent that is well versed in international and national vat rules should be able to help 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 a great extent.