Starting an organization that needs to import goods or services into the UK can be tough in these competitive times but understanding the number of eu countries which observe vat may help reduce costs. You will easily be able to track tax systems which are a lot like your own while also claiming vat refunds for previously paid vat in other countries.
There are many countries in the eu that also follow the system of vat. Even though the language employed in the vat invoice might differ along with vat rates, the system followed is almost exactly the same. The list of countries in the EU which 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 set of eu countries have however opted to remain out from the vat gambit. You can visit the hmrc vat or hm revenue and customs web site to read about such territories vies.
One major advantage you have when importing goods from such eu countries is that any vat that you might have paid in the particular country may be refunded to you by that country when you file for a vat reclaim. This procedure can be handled by an expert vat agent who has offices in the UK as well as in other countries from where 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 increase business bottom line while suitably lowering your product costs.
If you hire an expert 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 from 17.5% for standard vat rates to 5% for reduced vat rates to zero vat rates for specific products and services. There are also specific products and services which are vat exempt. The hmrc website offers a detailed set of such products and services which are put into 14,000 classifications.
To be able to claim a vat refund you will need to preserve and submit all original vat documents together with your vat certificate too. While procedures and language in several countries might pose a problem, a vat agent well versed in several vat systems should be able to recover your hard earned money back to your account. There are also different deadlines in different eu countries for submitting a vat reclaim and thus having an in-depth knowledge of eu vat and uk vat rules will certainly provide a distinct benefit to both you and your business vat control.
If you wish to import goods or services to the UK then choosing eu countries that follow vat would offer several distinct advantages. Knowing the list of eu countries that follow vat will help save money and also offer simplicity of operation because the system for paying and collecting vat will be the same in all these countries.