If you’re a vat registered trader in the UK or perhaps some other member EU country which has embraced vat you will want to conduct a vat check of the supplier before finalizing your transaction, especially if you plan to import services or goods into your country. It is actually fairly simple to conduct a vat number check on the internet before you decide to spend your hard-earned money.
VAT or value added tax is a system of taxing goods and services that’s followed in a number of countries around the world including most eu countries. If you’re a trader in the UK that is importing services or goods from other eu countries where vat was already paid in the nation vat check of origin you’ll be able to make application for a vat refund. This will allow you to reclaim vat paid earlier in order to avoid double-taxation. However, it is important that you simply buy your goods originating from a vat registered trader or exporter in another country so the chain of vat continues as soon as the goods or services are imported into the UK.
However, there may be a chance that an unregistered vat trader might try to dupe you of your savings by charging you vat whilst providing you with a fake or expired vat number on the vat invoice. In such a case, you might not be able to reclaim any vat on that transaction, which in turn will raise your costs and deny you your rightful refund. It is thus vitally important to conduct a vat check that typically takes a short time whenever you log on to the official European Commission or EUROPA website that permits you to conduct a vat registration check and validate if your supplier has indeed given you an authentic vat number.
All that you should do is log on to the EUROPA website ec.europa.eu directly or visit the hmrc vat department website and check the page provided at the site. All you need to do is to choose the eu country of your supplier, enter the vat number of your proposed supplier, choose your own country code, and type in your own personal vat number. You may now need to click on verify, upon which the verification software will inform you if the vat number is valid.
Whenever possible, you need to print the validation screen as proof of having conducted the check at the particular date and time. In the event the registration number is not valid you’ll be able to tell your supplier since there may be a lot of reasons for this kind of response, including a genuine mistake in supplying you with the vat number to willful wrongdoing on your supplier?s part. You sould never forget that ultimately it’s your business which will suffer if you don’t conduct a vat number check.
Performing a vat registration number check is extremely important if you are planning to buy goods or services from vat registered traders in another country that also follow the system of vat. The exact checking process hardly takes more than a few seconds and performing a vat check will certainly save your business a lot of money and pain in case the supplied vat number turns out to be incorrect.